Question

Question 3 At the beginning of the current season on April 1, the records of Flint Pro Shop showed Cash $3,410; Inventory $3,500; and Common Stock $6,910. The following transactions occurred during April 2017 Apr. 5 Purchased golf bags, clubs, and balls on account from Arnie Co. $1,600. 9 Received credit from Arnie Co for merchandise returned $500. 10 Sold merchandise on account to members $1,320. The merchandise sold had a cost of $730. 12 Purchased golf shoes, sweaters, and other accessories on account from Woods Sportswear $860. 14 Paid Amie Co. in full 17 Received credit from Woods Sportswear for merchandise returned $60. 20 Made sales on account to members $960. The cost of merchandise sold was $550. 21 Paid Woods Sportswear in full. 30 Received payments on account from members $1,240 Prepare a tabular summary that includes the following accounts: Cash, Accounts Receivable, Inventory, Accounts Payable, Common Stock, Sales Revenue, Sales Returns and Allowances, and Cost of Goods Sold. Enter the beginning balances in the summary. Assets Liabilities Stockholders' Equity Retained Earnings + Common Stock + Rev. Bal. Cash + Accts. Rec. + Inv. - Accts. Pay. Record the April transactions using a perpetual inventory system. (Enter negative amounts using either a negative sign preceding the number eg. -45 or parentheses e.g. (45).) Liabilities Stockholders' Equity Retained Earnings Cash + Acets. Rec. + Inv. Accts. Pay. + Common Stock + Rev. $3,410 $3,500 $6,910 SO Sales revenue Cost of goods sold Sales revenue Cost of goods sold

Answer 1

	Cash	Account	inventory	Accounts	Common	Revenue	Expense
		receivable		payable	Stock
1-Apr	3,410	0	3,500	0	6,910	0	0
5-Apr			1,600	1,600
9-Apr			-500	-500
10-Apr		1,320				1,320		Sales revenue
			-730				-730	cost of goods sold
12-Apr			860	860
14-Apr	-1100			1,100
17-Apr			-60	-60
20-Apr		960				960		Sales revenue
			-550				-550	cost of goods sold
21-Apr	-800			-800
30-Apr	1,240	1,240
						2280	-1,280
			Income statement
			for the year ending April 2017
	Revenue
	sales					2,280
	cost of goods sold					1,280
	Gross profit					1,000