Assume that on september 1, office depot had an inventory that

Exercise 5-2

E5-2 Assume that on September 1, Office Depot had an inventory that included a variety of calculators. The company uses a perpetual inventory system. During September, these transactions occurred.

Sept. 6 Purchased calculators from Dragoo Co. at a total cost of $1,650, terms

n/30.

9 Paid freight of $50 on calculators purchased from Dragoo Co.

10 Returned calculators to Dragoo Co. for $66 credit because they did not

meet specifications.

12 Sold calculators costing $520 for $690 to Fryer Book Store, terms n/30.

14 Granted credit of $45 to Fryer Book Store for the return of one calculator

that was not ordered. The calculator cost $34.

20 Sold calculators costing $570 for $760 to Heasley Card Shop, terms n/30.

 

(a) Journalize the transactions, including explanations.  (Note, enter all accounts in one box.  The dates have been included to help with formatting).