Hey guys, I’ve just placed the templates that we need for the questions - Becky :)
Week 4

Prepare general journal entries to record the following transactions relating to Saints Trading. The perpetual inventory system is used.

Date (2009)
Transactions
2 May
Purchased inventory costing $4000 on credit
4 May
Returned defective goods, which cost $800
10 May
Sold goods for $1800 (cost price $1000) These were $1000 cash sales, remaining $800 sold on credit. Credit terms on the remainder of the goods sold were 2/10, n/30
12 May
Goods costing $300 that were sold on credit for $400 were returned by the customer

GENERAL JOURNAL

Date
(2009)
Account Title
Debit
Credit
May 2
Inventory
4000

Accounts Payable

4000
4
Accounts Payable
800

Inventory

800
10
Accounts Receivable
800

Cash
1000

Sales

1800

Cost of Goods Sold
1000

Inventory

1000
12
Sales Returns
400

Accounts Receivable

400

Inventory
300

Cost of Goods Sold

300

Harry Traders uses the perpetual inventory recording method
The following ledger account details provided for Harry Traders at 30 June 2013

Inventory

1/7/12
Balance
25 000
30/6/13
Cost of Goods Sold
330 000
30/6/13
Accounts Payable
340 000

Stock Loss
2 000

Cost of Goods Sold
1 000

Accounts Payable
20 000

Balance
14 000

366 000

366 000

Show how the cost of goods sold, inventory, purchases and purchase returns accounts would appear in the ledger if the periodic inventory method of inventory recording had been used.

Inventory