accounting option 1 critical thinking

Apr 1st, 2016
Anonymous
Category:
Art Design
Price: $5 USD

Question description

Assume you are the owner of Victory Cycle Shop and just received an order of bikes from Roseville. You notice that the invoice dated September 22 has terms of 2/10, n/30. The amount of the invoice was originally $1,000.

The payment was made on September 29; however, the clerk failed to book the transaction on September 22.

Identify the adjustments that need to be made in that period in terms of the accrual principle. Explain how to journalize and how to make the adjustments for the proper accounting period.

Address the following items in your response:

  • What is your motivation for offering the sales discount?
  • Identify three incentives customers would face to not pay the invoice within the discount period.

Tutor Answer

(Top Tutor) Studypool Tutor
School: Carnegie Mellon University

Studypool has helped 1,244,100 students

Review from student
Studypool Student
" The best tutor out there!!!! "
Ask your homework questions. Receive quality answers!

Type your question here (or upload an image)

1828 tutors are online

Brown University





1271 Tutors

California Institute of Technology




2131 Tutors

Carnegie Mellon University




982 Tutors

Columbia University





1256 Tutors

Dartmouth University





2113 Tutors

Emory University





2279 Tutors

Harvard University





599 Tutors

Massachusetts Institute of Technology



2319 Tutors

New York University





1645 Tutors

Notre Dam University





1911 Tutors

Oklahoma University





2122 Tutors

Pennsylvania State University





932 Tutors

Princeton University





1211 Tutors

Stanford University





983 Tutors

University of California





1282 Tutors

Oxford University





123 Tutors

Yale University





2325 Tutors