We appreciate your visit to KLM started the period with 20 bicycles in inventory each costing 150 and then purchased an additional 30 bicycles at a cost of 160 each. This page offers clear insights and highlights the essential aspects of the topic. Our goal is to provide a helpful and engaging learning experience. Explore the content and find the answers you need!
Answer :
KLM offered 40 bicycles to Team America for $300 every. The journal entry facts a debit to Accounts Receivable, a credit score to Sales Revenue, a debit to Cost of Goods Sold, and a credit score to Inventory.
To document the sale transaction of 40 bicycles to Team America for $300 each, with phrases of 2/10, and n/30, the important journal entry for KLM would be:
Debit: Accounts Receivable - Team America $12,000
Credit: Sales Revenue $12,000
Debit: Cost of Goods Sold $6,400
Credit: Inventory $6,400
Reason:
The debit to Accounts Receivable - Team America represents the quantity KLM expects to receive from the sale.
The credit score to Sales Revenue records the revenue generated from the sale of the bicycles.
The debit to Cost of Goods Sold displays the price of the bicycles bought and the usage of the LIFO stock valuation approach.
The credit score to Inventory reduces the quantity and cost of bicycles ultimate in KLM's inventory after the sale.
To know more about journal entries,
https://brainly.com/question/28390337
#SPJ4
Thanks for taking the time to read KLM started the period with 20 bicycles in inventory each costing 150 and then purchased an additional 30 bicycles at a cost of 160 each. We hope the insights shared have been valuable and enhanced your understanding of the topic. Don�t hesitate to browse our website for more informative and engaging content!
- Why do Businesses Exist Why does Starbucks Exist What Service does Starbucks Provide Really what is their product.
- The pattern of numbers below is an arithmetic sequence tex 14 24 34 44 54 ldots tex Which statement describes the recursive function used to..
- Morgan felt the need to streamline Edison Electric What changes did Morgan make.
Rewritten by : Barada
