May 4 Sana sold merchandise on account to All, P162,000.

Terms FOB
Destination; 2/10, n/30. Freight charges amounted to P2,000.
May 5 Sana sold merchandise on account to all, P710,000. Terms; FOB Shipping
Point; 2/10, n/30. Freight Charges amounted to P8,000.
May 6 All paid freight charges on the purchase of May 5
May 7 Sana received returned merchandise from all in the amount of P12,000
from May 4 sale.
May 9 Sana received payment from All for the May 4 transaction.
May 10 All paid the transportations cost on the May 5 shipment.
May 12 Sana received payment from All for the May 5 transaction
May 18 Sana sold merchandise on account to All P250,000. Terms; 40% trade
discount; FOB Shipping Point; 2/10, n/30.
May 21 Sana paid freight charges on the May 18 transaction, P3,000.
May 23 Sana received payment from all for the amount due from the transaction of
May 18
PRACTICE PROBLEM
May-04 May-18  
May-05  
 
Seller's POV SANA  
DATE DR CR   DATE

May-04 Accounts Receivable 162,000.00   May-04 Purchas

Sales 162,000.00   Acco

To
To record the sold merchandise on account   account
Terms FOB Destination, 2/10, n/30 with   Te
freight charges amounted to 2,000   fre
 

May-05 Accounts Receivable 710,000.00   May-05 Purchas

Sales 710,000.00   Acco

To
To record the sold merchandise on account   account
Terms FOB Shipping Point, 2/10, n/30 with   Te
freight charges amounted to 8,000   fre
 

May-06 N JE   May-06 Freight I

  Cash
  To
 

May-07 Sales Return and Allowances 12,000.00   May-07 Account

Accounts Receivable 12,000.00   Purch

 

May-09 Cash 147,000.00   May-09 Account

Sales Discount 3,000.00   Cash

Accounts Receivable 150,000.00   Purch

 

May-10 Freight Out 2,000.00   May-10 Account

Accounts Receivable 2,000.00   Cash

 

May-12 Cash 695,800.00   May-12 Account

Sales Discount 14,200.00   Cash

Accounts Receivable 710,000.00   Purch

  

May-18 Accounts Receivable 150,000.00   May-18 Purchas

Sales 150,000.00   Acco

To
To record the sold merchandise on account   account
terms 40% trade discount; FOB Shipping
Point   te
2/10, n/30   2/
 

May-21 Accounts Receivable 3,000.00   May-21 Freight i

Cash 3,000.00   Acco

 

May-23 Cash 150,000.00   May-23 Account

Sales Discount 3,000.00   Cash

Accounts Receivable 153,000.00   Purch