June 4 Deere Company purchased $3,500 worth of merchandise, terms n/30 from Gilbert Company. The cost of the merchandise was $2,500.
13 Deere returned $600 worth of goods to Gilbert for full credit. The goods had a cost of $400 to Johnson.
13 Deere paid the account in full.
Instructions
Prepare the journal entries to record these transactions in (a) Deere's records and (b) Gilbert's records. Assume use of the periodic inventory system for both companies.

Question

Quizplus · Accepted Answer

The Answer of June 4 Deere Company purchased $3,500 worth of merchandise, terms n/30 from Gilbert Company. The cost of the merchandise was $2,500.
13 Deere returned $600 worth of goods to Gilbert for full credit. The goods had a cost of $400 to Johnson.
13 Deere paid the account in full.
Instructions
Prepare the journal entries to record these transactions in (a) Deere's records and (b) Gilbert's records. Assume use of the periodic inventory system for both companies.

June 4 Deere Company Purchased $3,500 Worth of Merchandise, Terms