Page 31 - Demo

CH(1): Journal entries %u2013Perpetual Inventory system28C-7) Receiving from debtor after discount period.Illustration 1-19:On Feb,25 2020, SalmanCompanyreceived full amount due from customerAbdulla .Itwasrecorded in the general journal:GENERAL JOURNALDateAccount Title and ExplanationPRDebitCreditFeb,25Cash (40,800 %u2013800)40,000Account Receivable Abdulla40,000Received full due from debtor Abdulla.Example 1-1:The following transactions occurred for Mohammed Company during May 2020:May 1: Invested cash BD36,000 in the business.May 2: Purchased goods for cash BD3,000 from ReamEst.May 4: Sold goods to customer Essafor BD7,200 terms 1/10, n/30. The cost of goods sold was BD6,800.May 6: Returned goods BD250 to ReamEst, for cash.May 9: Essa returned goods BD200, costing BD160 on account.May11: Bought goods BD4,300 from Al Salam Est, on credit.May12: Received full due from customer Essa for cash.May15: Returned goods BD300 to AL Salam Est, on credit.May20: Paid the balance due to Al Salam Est.Required:Journalize the May transactions using a perpetual inventory system.