Exam 8: Accounting for Purchases and Accounts Payable

A creditor's account in the accounts payable ledger has a balance of $10,560 as of April 1.After a transaction of $12,800 is posted from the purchases journal and a transaction of $9,200 is posted from the cash payments journal,the balance of the creditor's account on April 30 is:

In a firm that uses special journals,the purchase of merchandise for $2,800,payable in 30 days,plus a freight charge of $140 is recorded in the

At the end of September 2016 and before the purchases journal was posted,selected general ledger account balances for Paper Products were as follows (each account had a normal balance): The purchases journal had the following totals: Purchases,$19,540;Freight In,$1,225;Accounts Payable,$20,765. Calculate the ending balance of each of the three accounts after the posting from the purchases journal.Indicate whether each balance is a debit or credit.

The entry to record a purchase of merchandise on credit includes

Nice Guys Apparel received a $200 credit memorandum as an allowance for goods that it returned to one of its suppliers.Identify the statement below that would be correct when posting the transaction.

Each individual entry in the purchases journal is posted to the general ledger at the end of each day.

One of the supplier accounts from the accounts payable ledger for Paragon Video is shown below.Explain each of the entries that have been posted to this supplier's subsidiary ledger account.

Best Value Furniture uses the periodic inventory system to account for its inventory.It purchased $2,000 of goods from its supplier but later returned $400 of the goods due to damage.Best Value would record the return by:

On November 30,2016,the general ledger of Hinges and More Hardware,a retail store,showed the following balances: Purchases,$136,750;Freight In,$2,500;Purchases Returns and Allowances,$4,000. Determine the following: A)What was the delivered cost of purchases for November? B)What was the net delivered cost of purchases for November?