Recording Purchase Transactions Mathis Company and Reece Company use the perpetual inventory system. The following transactions occurred during the month of April:
a. On April 1, Mathis purchased merchandise on account from Reece with credit terms of 2/10, n/30. The selling price of the merchandise was $3,800, and the cost of the merchandise sold was $2,450.
b. On April 1, Mathis paid freight charges of $100 cash to have the goods delivered to its warehouse.
c. On April 8, Mathis returned $1,000 of the merchandise, which had originally cost Reece $700.
d. On April 10, Mathis paid Reece the balance due.
Required:
a. Prepare the journal entry to record the April 1 purchase (ignore any freight charges) of merchandise by Mathis Company.
b. Prepare the journal entry to record the April 8 return of merchandise.
c. Prepare the journal entry to record the April 10 payment to Reece Company, If an amount box does not require an entry, leave it blank.

in 2001, dell computer became the world’s largest personal computer vendor, continuing to

gain market share and post profits in an industry struggling with slumping sales and billions of

dollars in losses. dell sells 90% of its pcs directly to the final customer, largely bypassing the

reseller channel that accounts for most of the world’s pc sales. this direct customer relationship

is the key to dell’s business model, and provides distinct advantages over the indirect sales

model. dell’s direct relationship with the customer allows it to tailor its offerings to customer

needs, offer add-on products and services, and use the internet to offer a variety of customer

services. in addition, dell’s pcs are built to customers’ specifications upon receipt of an order,

giving dell additional advantages over indirect pc vendors who must try to forecast demand and

ship products based on those forecasts. dell’s direct sales and build-to-order model has achieved

superior performance in the pc industry in terms of inventory turnover, reduced overhead, cash

conversion, and return on investment (kraemer, et al., 2000).

explanation:

answer; planning;

answer about 4-5 percent of the labor force is unemployed;