Question

Sunland Company uses a perpetual inventory system. Its beginning inventory consists of 83 units that cost $56 each. During June, (1) the company purchased 248 units at $56 each on account, (2) returned 10 units for credit, and (3) sold 206 units at $83 each on account. Journalize the June transactions. (If no entry is required, select "No entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually.)

Answer 1

Item 1

Debit : Merchandise $13,888

Credit : Accounts Payable $13,888

Item 2

Debit : Merchandise $560

Credit : Accounts Payable $560

Item 3

Debit : Accounts Receivable $17,098

Debit : Cost of Sales $11,536

Credit : Sales Revenue $17,098

Credit : Merchandise $11,536

Step-by-step explanation:

See the journal entries prepared above.