Transcript Sold merchandise to a customer on account, customer is tax exempt.

Sold merchandise to a customer on
account, customer is tax exempt
DR AR
CR
CR SALES
Received a check from a customer
paying on their account less a
discount
DR CASH
DR SALES DISCOUNTS
CR AR
Received cash from the sale of an
asset
DR CASH
CR ASSET
A customer bought merchandise on
account; customer was taxable
DR AR
CR SALES
CR SALES TAXABLE
Record cash sales of merchandise for
the day including sales tax
DR CASH
CR SALES TAX PAYABLE
CR SALES
Received a check from a customer
paying on their account
DR CASH
CR AR
Sold merchandise to a customer on
account, customer is tax exempt
DR AR
CR SALES
Record bankcard sales of
merchandise for the day from a tape
including sales tax
DR CASH
CR SALES TAX PAYABLE
CR SALES
Issued a credit memorandum to a
customer for merchandise returned;
original sales included sales tax
DR SALES RETURNS & ALLOWANCES
DR SALES TAX PAYABLE
CR AR
Issued a check to purchase
merchandise at the time of the
purchase
DR PURCHASES
CR CASH
Issued a check to purchase office
supplies at the time of purchase
DR OFFICE SUPPLIES
CR CASH
Record the payment of
transportation in charges
DR TRANSPORTATION CHARGES
CR CASH
Purchased office equipment on
account
DR Office Equipment
CR AP
Issued a check to pay on account
DR AP
CR CASH
Record the payment of an advertising
expense
DR ADVERTISING EXPENSE
CR CASH
Record bankcard fees
DR BANKARD FEES
CR CASH
Purchased merchandise on account
DR PURCHASES
CR AP
Record a repair expense that was
performed for your business on
account at the time of the repair
DR REPAIR EXPENSES
CR AP
Record a payment on account
DR AP
CR CASH
Issued a debit memorandum to a
creditor for merchandise returned
DR AP
CR PURCHASES Returns & Allowances
Record the payment on account less a
discount
DR – AP
CR – CASH
CR – PURCHASE DISCOUNTS
Record the purchase of prepaid
insurance with a check
DR PREPAID INSURANCE
CR CASH
CALCULATE NET SALES
SALES
- SALES DISCOUNTS
- SALES RETURNS & ALLOWANCES
= NET SALES
CALCULATE NET PURCHASES
PURCHASES
+ TRANSPORTATION IN
- PURCHASES DISCOUNTS
- PURCHASES RETURNS & ALLOWANCES
= NET PURCHASES