Goods in transit shipped “FOB destination” by a supplier wer…

Goods in transit shipped “FOB destination” by a supplier were recorded as a purchase but were excluded from ending inventory. Determine the effect of this error on the following financial statement line items using a periodic inventory system. Assume all purchases and sales are on credit. The following chart my assist you in your response: Beginning Inventory  + Purchases  = Available goods – Ending Inventory  Cost of Goods Sold    Sales  – Cost of Goods Sold  Net Income 

Using the information for Relax Spa Inc. given above: a. Pro…

Using the information for Relax Spa Inc. given above: a. Provide the information needed to complete the journal entry to record the initial sale of $10,000 in gift cards on January 2nd.  When recording numerical responses enter your response with commas as appropriate.  Do not include dollar signs, decimals or spaces. Ex. 1,000 Date Account Titles Debit Credit Jan 2 Provide the account name in Blank #1 below.  Provide the amount in Blank #3 below.         Provide the account name in Blank #2 below.   To record gift card sales. b. Provide the necessary account names to record the redemption of services of $150 using a gift card on February 2nd.  Note that the you only need the account names, the calculation of the journal entry amount will be done in the next question. Date Account Titles Debit Credit Feb 2 Provide the account name in Blank #4 below.  Amount will be calculated in the next question.          Provide the account name in Blank #5 below.   To record gift card redemption on Feb 2.