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Allied Merchandisers was organized on May 1. Macy Company is a major customer (buyer) of
Allied (seller) products. May 3 Allied made its first and only purchase of inventory for the
period on May 3 for 2,000 units at a price of $9 cash per unit (for a total cost of $18,000). May 5
Allied sold 1,000 of the units in inventory for $13 per unit (invoice total: $13,000) to Macy
Company under credit terms 2/10, n/60. The goods cost Allied $9,000. May 7 Macy returns 100
units because they did not fit the customers needs (invoice amount: $1,300). Allied restores the
units, which cost $900, to its inventory. May 8 Macy discovers that 100 units are scuffed but are
still of use

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Allied Merchandisers was organized on May 1. Macy Company is a major c.pdf

  • 1. Allied Merchandisers was organized on May 1. Macy Company is a major customer (buyer) of Allied (seller) products. May 3 Allied made its first and only purchase of inventory for the period on May 3 for 2,000 units at a price of $9 cash per unit (for a total cost of $18,000). May 5 Allied sold 1,000 of the units in inventory for $13 per unit (invoice total: $13,000) to Macy Company under credit terms 2/10, n/60. The goods cost Allied $9,000. May 7 Macy returns 100 units because they did not fit the customers needs (invoice amount: $1,300). Allied restores the units, which cost $900, to its inventory. May 8 Macy discovers that 100 units are scuffed but are still of use