Wednesday 14 October 2015

During the months of January and February, Solitare Corporation sold goods to three customers. The sequence of events was as follows:

During the months of January and February, Solitare Corporation sold goods to three customers. The sequence of events was as follows:

Jan. 6   Sold goods for $180 to Wizard Inc. with terms 2/10, n/30. The goods cost Solitare $74.
6   Sold goods to Spyder Corp. for $92 with terms 3/10, n/30. The goods cost Solitare $64.
14   Collected cash due from Wizard Inc.
Feb. 2   Collected cash due from Spyder Corp.
28   Sold goods for $62 to Bridges with terms 3/10, n/45. The goods cost Solitare $38.


Required:
Assuming that Sales Discounts are reported as contra-revenue, compute Net Sales for the two months ended February 28. (Do not round intermediate calculations. Round your answer to 2 decimal places.)

Explanation:

 

3 comments:

  1. During the months of January and February, Solitare Corporation sold goods to three customers. The sequence of events was as follows:


    Jan. 6 Sold goods for $100 to Wizard Inc. with terms 2/10, n/30; goods cost Solitare $70
    6 Sold goods to SpyderCorp. for $80 with terms 2/10, n/30; goods cost Solitare $60
    14 Collected cash due from Wizard Inc.
    Feb. 2 Collected cash due from SpyderCorp
    28 Sold goods for $50 to Bridges with terms 2/10, n/45; goods cost Solitare $30

    Required:
    Assuming that Sales Discounts are reported as contra-revenue, compute Net Sales for the two months ended February 28.

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