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Listed below are selected examples of transactions related to the purchase and sale of inventory from the perspective of the seller or the buyer as indicated

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Listed below are selected examples of transactions related to the purchase and sale of inventory from the perspective of the seller or the buyer as indicated. Assume a perpetual inventory system is in use. Buyer: Purchase of $3,990 of inventory for cash Buyer: Return of $855 ot inventory to seller for credit on account, 3. Buyer: Purchase of $4,560 of inventory on account, terms 2/10, 1/45. Buyer: Payment of $490 cash for freight on purchase of inventory (FOB shipping point) 5. Buyer: Payment of amount owed for purchase of $3.990 of inventory,terms 2/10, 1/30, paid within discount period. Seller: Sate of inventory on account terms /30. Selling price $20,000, cost $8.000. Management expects a return rate of Seller: Return of damaged Inventory from buyer for cash. Selling price $610; cost $261. All of the goods were discarded because they are not resaleable. Seller: Payment of $650 cash for freight on sale of inventory (FOB destination), Seller: Return of unwanted inventory from buyer for credit on account. Selling price 5490 cost $179. Goods restored to inventory for future resale. 10 Seller: Receipt of payment (59,120) from customer on account, terms 1/30. 6. 7,69% 7 8 9. For each of the above transactions, indicate (a) the basic type (asset, liability, revenue, or expense) of each account to be debited and credited: (b) the specific name(s) of the account(s) to debit and credit (for example, Inventory); and (c) whether each account is increased (+) or decreased (-) and by what amount. The first one has been done for you as an example. (Enter specific debited account items in alphabetical order. Enter negative amounts using either a negative sign preceding the number 03.-45 or parentheses es (45)
Acco (c) Item (a) Basic Type of Account Asset Account Debited (b) Specific Account Inventory Amount Basic Type of Account Asset Specific 1 $3.990 2. 5 3. $ 4. $ 5. ? $ $ $ $ 7. $ $ 8. $ 9. 10.
unt Debited ) (c) Account Credited (b) Specific Account (c) Account (a) Basic Type of Account Asset Amount Amount tory $3,990 Cash -$3.990 V > $ v $ $