Answer Happy

Pina Colada Book Warehouse Ltd. distributes hardcover books to retail stores. At the end of May, Pina Colada's inventory consists of 230 books purchased at $19 each. Pina Colada uses a perpetual inventory system. Return rates in the book industry are high, with Pina Colada experiencing a 15% return rate historically. During the month of June, the following merchandise transactions occurred: June 1 3 5 8 9 11 12 17 22 25 29 Purchased 170 books on account for $17 each from Reader's World Publishers, terms n/45. Sold 220 books on account to The Book Nook for $25 each, with an assumed average cost of $18, terms n/45. Received a $170 credit for 10 books returned to Reader's World Publishers. Sold 82 books on account to Read-A-Lot Bookstore for $24 each, with an assumed average cost of $18, terms n/45. Issued a $288 credit memorandum to Read-A-Lot Bookstore for the return of 12 damaged books. The books were determined to be no longer saleable and were destroyed. Purchased 130 books on account for $15 each from Read More Publishers, terms n/45. Received payment in full from The Book Nook. Received payment in full from Read-A-Lot Bookstore. Sold 125 books on account to Reader's Bookstore for $23 each, with an assumed average cost of $18, terms n/45. Granted Reader's Bookstore a $345 credit for 15 returned books. These books were restored to inventory. Paid Reader's World Publishers in full.
(b) Record the June transactions. (List all debit entries before credit entries. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Round your answers to O decimal places, e.g. 5,275.) Date June 1 June 3 Account Titles and Explanation Inventory Accounts Payable Accounts Receivable Sales (To record sales) 17 Debit 2,890 5,500 Credit 2,890 5,500
June 3 June 5 June 8 Cost of Goods Sold Inventory (To record cost of goods sold) Accounts Payable Inventory Accounts Receivable Sales (To record sales) 3,960 170 3,960 170
(To record cost of goods sold)
(To record sales)
(To record cost of goods sold) (To record sales returns) (To record cost of goods returned)