Ch 13 Solution Intermediate Acct

SOLUTIONS TO BRIEF EXERCISES

BRIEF EXERCISE 13-1

|July 1 |Purchases |60,000 | |

| | Accounts Payable | |60,000 |

| | | | |

| |Freight-in |1,200 | |

| | Cash Cash | |1,200 |

| | | | |

|July 3 |Accounts Payable |6,000 | |

| | Purchase Returns and Allowances | |6,000 |

| | | | |

|July 10 |Accounts Payable |54,000 | |

| | Cash ($54,000 X 98%) | |52,920 |

| | Purchase Discounts | |1,080 |

BRIEF EXERCISE 13-4

(a) Since both criteria are met (intent and ability), none of the...