The debits and credits don’t equal at the end, meaning it’s wrong?
April 1: Sold merchandise for 3,000, granding customer terms of 2/10 EOM. Invoice dated April 1st. Cost of merchandise is 1,800.
April 4th: Customer in April 1st sale returned merchandise and recieved credit for 600. The merchandise, which cost 360 is returned to inventory.
April 11: Received payment for the amount due from April 1st sale less the return on April 4th.
At the end I get Debit = $8112 and Credit = $8208, which isn’t correct since they don’t equal eachother?
April 1st:
A/P DR 3,000.
Sales CR 3,000
Cost of goods sold DR 1,800
Merchandise Inventory CR 360
April 4th:
Sales return and allowance DR 600
A/R CR 600
Merchandise Inventory DR 360
Cost of goods sold CR 360
April 11th:
Cash DR 2352
Sales discount CR 48
A/R CR 2400