On October 1, Belton Bicycle Store Had an Inventory of 20

question 13

Essay

On October 1, Belton Bicycle Store had an inventory of 20 ten speed bicycles at a cost of $200 each. During the month of October, the following transactions occurred.
Oct. 4 Purchased 25 bicycles at a cost of $200 each from Kuhn Bicycle Company, terms 2/10, n/30.
6 Sold 15 bicycles to Team America for $300 each, terms 2/10, n/30.
7 Received credit from Kuhn Bicycle Company for the return of 2 defective bicycles.
13 Issued a credit memo to Team America for the return of a defective bicycle.
14 Paid Kuhn Bicycle Company in full, less discount.
Instructions
Prepare the journal entries to record the transactions assuming the company uses a perpetual inventory system.

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Definitions:

Daily Living

The routine activities that individuals perform every day without assistance, such as eating, bathing, and dressing.

Balances Checkbook

The activity of reconciling one's checkbook ledger with the bank statements to ensure accuracy and consistency in financial records.

Cleans the House

The act of removing dirt, clutter, and unnecessary items, and organizing the living space to maintain cleanliness and order.

Instrumental Activities

Tasks necessary for independent living, such as managing finances, transportation, shopping, and housekeeping, often used to assess functional ability.