On May 31,a company had a balance in its accounts receivable of $103,200.Prepare journal entries to record the following transactions for June.Assume the company uses a perpetual inventory system.
June 2 Sold merchandise on account, $\$ 12,000$. The cost of the merchandise was $\$ 7,200$.
June 8 Sold $15,000 worth of accounts receivable to First Bark. First Bark charged a 4% factoring fee.
June 20 Barrowed $\$ 30,000$ cash from Second National Bark, pledging $31,500 worth of accounts receivable as collateral for the loan.

Question

On May 31,a company had a balance in its accounts receivable of $103,200.Prepare journal entries to record the following transactions for June.Assume the company uses a perpetual inventory system.
 June 2 Sold merchandise on account, $\$ 12,000$. The cost of the merchandise was $\$ 7,200$. 
June 8 Sold $15,000 worth of accounts receivable to First Bark. First Bark charged a 4% factoring fee.
June 20 Barrowed $\$ 30,000$ cash from Second National Bark, pledging $31,500 worth of accounts receivable as collateral for the loan.

Quizplus · Accepted Answer

The Answer of On May 31,a company had a balance in its accounts receivable of $103,200.Prepare journal entries to record the following transactions for June.Assume the company uses a perpetual inventory system.
 June 2 Sold merchandise on account, $\$ 12,000$. The cost of the merchandise was $\$ 7,200$. 
June 8 Sold $15,000 worth of accounts receivable to First Bark. First Bark charged a 4% factoring fee.
June 20 Barrowed $\$ 30,000$ cash from Second National Bark, pledging $31,500 worth of accounts receivable as collateral for the loan.

On May 31,a Company Had a Balance in Its Accounts $12,000\$ 12,000$12,000

On May 31,a Company Had a Balance in Its Accounts $\$ 12,000$