Question

Zulu’s Market recorded the following events involving recent transactions of
merchandise:
June 1: Received goods for $50,000, terms 2/10, n/30.
June 2: Returned $1,000 of the shipment for credit.
June 2: Paid $250 freight on the shipment.
June 12: Paid the invoice.
June 13: Payment of $100 freight on goods sold.
As a result of these events, what would be the impact on the company’s merchandise
inventory? Demonstrate with calculation.

Answer 1

Answer:

June 1: Received goods for $50,000, terms 2/10, n/30. June 2: Returned $1,000 of the shipment for credit. June 2: Paid $250 freight on the shipment. June 12: Paid the invoice. June 13: Payment of ...