[asreeerioas = Por Are Aaswees Od Pater Providé> - Reroes TESé Wire Fove Arsoees- De Nor CHEAT. J. | Mathis Company and Reece Company use the perpetual inventory system. ‘The following transactions occured during the month of Apel: Gy wen Apr 1, Mathis purchased merchandise on account from Reece with cede ms of 3/10, 1/30. The selling price of the merchandise was $3,100, and the ‘cost of the mer- Ghandise sold was $2,225, FQ Sui PFinG Pony. @ b. On April 1, Mathis paid freight charges ‘of $250 cash to have the goods delivered to its ‘warehouse. 6 © Om Apri 8, Mathis cetumed $800 of the merchandise, The cot of the merchandise returned was $500. a d. On April 10, Mathis paid Reece the balance due. Reav. veh — ‘ 1. Record ALL TRAdsacrioas I Tie Gen tea — Leveer G/t) OF Bort Combani€s- 2. prepare THE lacome Sravemenr 06 Reece Go. RY THE Gress Oactir Line. ‘The following table summarizes the beginning inventory, purchases, and sales of Psi Company's single product during January: LATae o ies aaa ne | A L_ [Beginning mvontary and Purchases! i [uns | Gost__| Total (Sates Unite 3] 400i] $20. EI & a Required 1. Assuming that the company uses the periodic inventory system, compute ] "the cost that should be assigned to ending inventory and to cost of goods | sold using {a) the average-cost method, (b) the FIFO method, and (¢) the | LIFO method. | 2, PREPARE THE Inicome SrmT. Fok Eacn METHS Assuming Sentiag Paice is US, EACH, OPERATISG Extedses ARE #/0,000.,4¥> THE TAK Reve is 40 eetn,J, Donald Corporation received the bank statement shown below for the month of October: | 9/30 Beg. balance 10/2 10/4 10/8 10/10 10/13 tos 10/17 losig 10/21 10/23 10/25 10/27 10/31 SNF check "Debit momo fant Expos) +**Serdes charge ‘The cash records of Donald Corporation provide the following information: Date 10/1 10/2 10/5 10/6 10/6 10/7 10/12 10/15 tosis, 10/17 losi7 10/18 1o/i8 10/20 10/20 10/23 10/25 10/29 10/30 10/31 10/31 tem Debit Credit Balance from 9/30 Check #1908 $ Check #1907 Check #1910, heck #1911 ‘Check #1912 Deposit #411 -$op00~ ‘Check #1913 Check #1914 Check #1915 Check #1916 Depexit #412 Check #1917 aad ‘Check #1918 ‘Check #1919 Check #1920 ‘Check #1921 Chock #1922 c Check #1923 Check #1924 Deposi #413 ~4,300- he S83 2adRs # vee Balance $ 6,905 ea sea om a fa 9,510 gate a fe | a 7,780 ye os ‘The items on the bank statement are correct. The debit memo is for the payment by the bank of Donald’s office furniture rent expense for October. Required: ZR 1. Prepare a bank reconciliation. (int: There is one transposition error in the cash account.) 2. Prepare adjusting entries based on the bank reconciliation, P°ALETLY iW G/es Buy Oe Taser 2, [Hace You.