Question 5<br/>Alpha Company used the periodic inventory system for

purchase &amp; sales of merchandise. Discount terms for both purchase &amp; sales are, FOB Destination, 2/10, n30 and the gross method is used.
&gt; Alpha Company sold on account $2,500 of merchandise to Bravo Company on May 2, 2016. Selling price was $4,000. Freight charges related to this transaction of $150 were paid by Alpha Company.
&gt; Bravo Company returned, to Alpha Company, $250 of this merchandise on May 3, 2016. Merchandise was sold for $400
Use this information to prepare Alpha Company’s General Journal entries (without explanation) for May 2 &amp; May 3 entries. If no entry is required then write “No Entry Required.”

Question 6
(8 points)

Alpha Company replenished a $500 petty cash fund. The petty cash box contained vouchers of $87 for postage, $173 for supplies, $58 for gasoline, and cash on hand of $180. The journal entry to reflect replenishment would include a:
Question 6 options:

debit to Cash Short for $2

credit to Petty Cash for $2

credit to Cash or $180

credit to Cash for $318
Question 7
(9 points)

Annapolis Company’s bank statement indicated an ending cash balance of $8,140. Alpha’s accountant discovered that outstanding checks amounted to $865 and deposits in transit were $1,000. Additionally, the bank statement showed service charges of $40. What is the correct adjusted ending cash balance
Your Answer: