Jerry's Flowers sold and shipped merchandise across the country to a buyer. The terms were FOB destination. Assuming it paid the bill immediately, demonstrate the journal entry required by Jerry's Flowers under the perpetual inventory system to record the freight charges.

Debit Delivery Expense; credit Cash.

Explanation:

The journal entry to record the freight expenses should be:

Dr Delivery (freight) expense XX

Cr Cash XX

All expenses have a debit balance, and when they increase, they must be debited.

All assets have a debit balance, and when they decrease, they must be credited.