Radomir Company buys merchandise on account from Lemke Company. The selling price of the goods is...
Question:
Radomir Company buys merchandise on account from Lemke Company. The selling price of the goods is $1,489, and the cost of the goods is $1,139. Both companies use perpetual inventory systems.
Journalize the transaction on the books of both companies.
Perpetual Inventory:
Perpetual inventory is an arrangement of inventory management where the stock record is changed soon after the buy or deals made. This framework depends on continuous exchanges.
Answer and Explanation: 1
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View this answerJOURNAL
In the books of Radomir Company
| Date | Particular | L.F. | Debit (in $) | Credit (in $) |
| Inventory | 1,489 | |||
| Account payable | 1,489 |
JOURNAL
In the books...
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Journal Entries and Trial Balance in Accounting
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Chapter 3 / Lesson 10
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Discover the meaning of a journal entry and a trial balance, types of journal entries, how a general ledger differs from a trial balance, and some examples.
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