Transcript Chapter 7 and 8 Home office and Branch Relationships

Chapter 7 and 8
Home office and Branch
Relationships
Home office books
Receipts of cash from home office:
Branch#1
XXX
Cash
XXX
Receipts of merchandise from HO,billing
at costs:
Branch#1
XXX
Shipments to Branch#1 XXX
Home office books
Purchase of furniture and fixtures by
branch for cash,the assets to be carried on
the HO books:
Furniture and Fixture,Branch#1 XXX
Branch#1
XX
Remittance to home office:
Cash
XXX
Branch#1
XX
Home office books
Adjusting and closing entries:
Branch#1
XXX
Branch#1 Income XXX
Branch#1 Income XXX
Income Summary XXX
Branch Books
Receipts of cash from home office:
Cash
XXX
Home Office
XXX
Receipts of merchandise from HO, billing
at costs:
Shipments from HO
XXX
HO
XXX
Branch Books
Purchases of furniture and fixtures by
branch:
Home Office
XXX
Cash
XXX
Remittance to HO:
HO
XXX
Cash
XXX
Branch Books
Adjusting and closing entries:
Income Summary
XXX
Shipments from HO
XXX
Expenses,HO
XXX
Income Summary
XXX
HO
XXX
Elimination entry for worksheet
Home office
XXX
Branch#1
XXX
Shipments to Branch#1
XXX
Shipments from HO
XXX
Branch Billings
Branch billings at amounts other than cost
Billing at retail sale price
Billing at an arbitrary rate above cost