How do I prepare these journal entries?

Prepare the journal entries to record the following transactions on Monroe Company's books using a perpetual i?

  • Prepare the journal entries to record the following transactions on Monroe Company's books using a perpetual inventory system. (a) On March 2, Monroe Company sold $900,000 of merchandise to Churchill Company, terms 2/10, n/30. The cost of the merchandise sold was $620,000. Description/Account Debit Credit (To record cost of merchandise sold.) (b) On March 6, Churchill Company returned $120,000 of the merchandise purchased on March 2 because it was defective. The cost of the returned merchandise was $90,000. Description/Account Debit Credit (To record cost of merchandise sold.) (c) On March 12, Monroe Company received the balance due from Churchill Company. (For multiple debit/credit entries, list amounts from largest to smallest eg 10, 5, 3, 2.) Description/Account Debit Credit

  • Answer:

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