Journalize the Following Purchase Transactions for Schaeffer Office Supplies Using

question 39

Essay

Journalize the following purchase transactions for Schaeffer Office Supplies using the periodic inventory system.Explanations are not required.
$$\begin{array} { | l | l | } \hline \text { May } 12 & \begin{array} { l } \text { Schaeffer buys } \$ 167,500 \text { worth of merchandise inventory } \\\text { on account with credit terms of } 2 / 10 , \mathrm { n } / 30 .\end{array} \\\hline \text { May } 16 & \begin{array} { l } \text { Schaeffer returns } \$ 18,600 \text { of the merchandise to the } \\\text { vendor due to damage during shipment. }\end{array} \\\hline \text { May } 21 & \text { Schaeffer pays the amount due. } \\\hline\end{array}$$

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Definitions:

Saves

In finance, the amount of money that is set aside from income, typically in a savings account or other forms of secure investment.

Retirement Plan

A financial strategy that intends to provide individuals with income or resources during their retirement years.

Deposited

The action of placing money into a financial account or institution for safekeeping or to earn interest.

Compounded Annually

Interest calculation on the principal and the accumulated interest once a year.