Prepare journal entry to record receipt of payment


Presented below are transactions related to Rebecca Company.

1. On December 3, Rebecca Company sold $480 of merchandise to Simonies Putt Putt Golf, terms 2/10, n/30, FOB shipping point. The cost of the merchandise sold was $350.

2. On December 8, Simonies was granted an allowance of $27 for merchandise purchased on December 3.

3. On December 13, Rebecca Company received the balance due from simonies

Instructions

(a) Prepare the journal entries to record these transactions on the books of Rebecca Company using a perpetual inventory system.

(b) Assume that Rebecca Company received the balance due from Simons Putt Putt Golf on January 2 of the following year instead of on December 13. Prepare the journal entry  to record the receipt of payment on January 2.

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Finance Basics: Prepare journal entry to record receipt of payment
Reference No:- TGS0681313

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