5) The Lothridge Wholesale Beverage Company purchases soft drinks from producers and then sells them to retailers. The company began 2013 with merchandise inventory of 120,000 baht on hand. During 2013 additional merchandise is purchased on account at a cost of 600,000 baht. Sales for the year, all on account, totaled 820,000 baht. Lothridge uses the periodic inventory system. A physical count determined the cost of inventory at the end of the year to be 180,000 baht.
Required:
1. Prepare the necessary journal entries to record these transactions.
2. Calculate the cost of goods sold for The Lothridge Wholesale Beverage Company for the year ending 2015.
3. Prepare the year-end adjusting entry to record cost of goods sold.
5) The Lothridge Wholesale Beverage Company purchases soft drinks from producers and then sells them to retailers. The company began 2013 with merchandise inventory of 120,000 baht on hand. During 2013 additional merchandise is purchased on account at a cost of 600,000 baht. Sales for the year, all on account, totaled 820,000 baht. Lothridge uses the periodic inventory system. A physical count determined the cost of inventory at the end of the year to be 180,000 baht.Required:1. Prepare the necessary journal entries to record these transactions.2. Calculate the cost of goods sold for The Lothridge Wholesale Beverage Company for the year ending 2015.3. Prepare the year-end adjusting entry to record cost of goods sold.
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