On November 1,2012,Everett Janitorial Supply Sold Merchandise for $5,000,FOB Destination,2/10,n/30 $$\begin{array} { | l | r | r | } \hline \quad\quad\quad&\quad&\quad \\\hline \\\hline\end{array}$$

question 49

Essay

On November 1,2012,Everett Janitorial Supply sold merchandise for $5,000,FOB destination,2/10,n/30.The merchandise cost $3,200.
-Everett paid transportation costs of $100.On November 6,2012,merchandise of $1,000 from the November 1 sale was returned.The returned merchandise had cost $600.Please provide the two journal entries to record the return.
$$\begin{array} { | l | r | r | } \hline \quad\quad\quad&\quad&\quad \\\hline \\\hline\end{array}$$ $$\begin{array} { | l | r | r | } \hline \quad\quad\quad&\quad&\quad \\\hline \\\hline\end{array}$$

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Definitions:

Owner's Equity

The residual interest in the assets of a business after deducting liabilities, often referred to as net assets.

Total Assets

The sum of all assets owned by a company, including both current and non-current assets.

Total Liabilities

The sum of all financial obligations and debts owed by a company to external entities or individuals.