On September 1, the beginning of its fiscal year, Crane Ltd. had an inventory of 104 calculators at a cost of $20 each. The company uses a perpetual inventory system. During September, the following transactions occurred: Sept. 2 Purchased 780 calculators for $20 each from Digital Corp. on account, terms n/30. 10 Returned 20 calculators to Digital for $400 credit because they did not meet specifications. 11 Sold 330 calculators for $30 each to Campus Book Store, terms n/30. ranagement estimates returns of 4% based on prior experience. 14 Granted credit of $600 to Campus Book Store for the return of 20 calculators that were not ordered. The calculators were restored to inventory. 29 Paid Digital the amount owing. 30 Received payment in full from the Campus Book Store.create T accounts for inventory and cost of goods sold accounts

On September 1, the beginning of its fiscal year, Crane Ltd. had an inventory of 104 calculators at a cost of $20 each. The company uses a perpetual inventory system. During September, the following transactions occurred: Sept. 2 Purchased 780 calculators for $20 each from Digital Corp. on account, terms n/30. 10 Returned 20 calculators to Digital for $400 credit because they did not meet specifications. 11 Sold 330 calculators for $30 each to Campus Book Store, terms n/30. ranagement estimates returns of 4% based on prior experience. 14 Granted credit of $600 to Campus Book Store for the return of 20 calculators that were not ordered. The calculators were restored to inventory. 29 Paid Digital the amount owing. 30 Received payment in full from the Campus Book Store.create T accounts for inventory and cost of goods sold accounts

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Description: On September 1, the beginning of its fiscal year, Crane Ltd. had an inventory of 104 calculators at a cost of $20 each.The company uses a perpetual inventory system. During September, the following transactions occurred: Sept. 2Purchased 780 calcula

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter7: Inventories: Cost Measurement And Flow Assumptions

Section: Chapter Questions

Problem 3RE: Reid Company uses the periodic inventory system. On January 1, it had an inventory balance of...

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