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27 January, 04:59

On June 10, Marin Company purchased $8,400 of merchandise from Cullumber Company, on account, terms 3/10, n/30. Marin pays the freight costs of $380 on June 11. Goods totaling $500 are returned to Cullumber for credit on June 12. On June 19, Marin Company pays Cullumber Company in full, less the purchase discount. Both companies use a perpetual inventory system. Prepare separate entries for each transaction on the books of Cullumber Company

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  1. 27 January, 07:35
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    Debit Credit

    June 10 Accounts Receivables $8400

    Merchandise $8400

    June 12 Merchandise $500

    Accounts Receivables $500

    June 19 Cash 7663

    Discount 237

    Accounts Receivables $7900
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