On October 1 Lance's Bicycle Store Had an Inventory of 20

question 44

Essay

On October 1 Lance's Bicycle Store had an inventory of 20 ten speed bicycles at a cost of $350 each. During the month of October the following transactions occurred.
Oct. 4 Purchased 40 bicycles at a cost of $350 each from Lamont Bicycle Company terms 1/10 n/30.
6 Sold 20 bicycles to Team Minnesota for $500 each terms 2/10 n/30.
7 Received credit from Lamont Bicycle Company for the return of 2 defective bicycles.
13 Issued a credit memo to Team Minnesota for the return of a defective bicycle.
14 Paid Lamont 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:

Blastocoel

The fluid-filled cavity of a blastula.

Archenteron

The primitive gut formed during the early development of an embryo, which later differentiates into the digestive tract of an animal.

Ectoderm

The embryonic external layer of cells or tissue that forms early on and develops into the skin and nervous system.

Mesoderm

The middle layer of an embryo in early development, between the endoderm and ectoderm, which gives rise to muscles, bones, and blood tissues.