Skycrest Co., a furniture wholesaler, sells merchandise to Boyle Co. on account, $43,200, terms 1/10, n/30. The cost of the merchandise sold is $25,900. Skycrest Co. issues a credit memo for $8,600 for merchandise returned and subsequently receives the amount due within the discount period. The cost of the merchandise returned is $5,200.
Journalize Skycrest Co.'s entries for (1) the sale, including (2) the cost of the merchandise sold.
Journalize Skycrest Co.'s entries for (1) the credit memo, including (2) the cost of the returned merchandise.
Journalize Skycrest Co.'s entry for the receipt of the check for the amount due from Boyle Co.
For a compound transaction, if an amount box does not require an entry, leave it blank.