Closing entries for the Columbia Branch of Carolina Company on January 31, 2006, the end of a fiscal year, were as follows:
Columbia Branch receives all its merchandise from the home office of Carolina Company at a markup of 20% on billed price.
Prepare journal entries for the home office of Carolina Company on January 31, 2006, to record the operating results of the Columbia Branch. Show any supporting computations in the explanations for the entries.

Question

Closing entries for the Columbia Branch of Carolina Company on January 31, 2006, the end of a fiscal year, were as follows:
  Columbia Branch receives all its merchandise from the home office of Carolina Company at a markup of 20% on billed price.
Prepare journal entries for the home office of Carolina Company on January 31, 2006, to record the operating results of the Columbia Branch. Show any supporting computations in the explanations for the entries.

Quizplus · Accepted Answer

The Answer of Closing entries for the Columbia Branch of Carolina Company on January 31, 2006, the end of a fiscal year, were as follows:
  Columbia Branch receives all its merchandise from the home office of Carolina Company at a markup of 20% on billed price.
Prepare journal entries for the home office of Carolina Company on January 31, 2006, to record the operating results of the Columbia Branch. Show any supporting computations in the explanations for the entries.

Closing Entries for the Columbia Branch of Carolina Company on January