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2 August, 06:33

Record the following transaction in a transaction analysis chart for the buyer: Bought merchandise for $ 8 comma 600 on account. Shipping terms were F. O. B. destination. The cost of shipping was $ 100. Assume the perpetual inventory system.

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  1. 2 August, 07:21
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    The answer given below;

    Explanation:

    Inventory Dr.$8,600

    Accounts Payable Cr.$8,600

    The cost of shipping $100 will be paid by the seller as FOB is F. O. B destination. Therefore no entry in books of purchaser is made for shipping cost.
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