EX 6-13 Sales-related transactions

The debits and credits for three related transactions are presented in the following T accounts. Describe each transaction.

Cash

Sales

(5)

32,340

(1)

35,000

Accounts Receivable

Sales Discounts

(1)

35,000

(3)

2,000

(5)

660

(5)

33,000

Sales Returns and Allowances

Merchandise Inventory

(3)

2,000

(4)

1,200

(2)

21,000

Cost of Merchandise Sold

(2)

21,000

(4)

1,200