The following selected transactions occurred for Bleumortier Corporation. The company has a March 31 year end and adjusts accounts annually.
| Jan.5 |
Sold $18,000 of merchandise to Brooks Limited, terms n/30. The cost of goods sold was $12,000. |
| Feb.1 |
Bleumortier has introduced its own credit card. Morgan Ltd. used the card to buy merchandise for $6,000 that cost Bleumortier $4,000. Interest on unpaid balances after 30 days is charged at 18% per annum. |
| 2 |
Accepted a four-month, 6%, $18,000 promissory note from Brooks for the balance due. Interest is payable at maturity.
|
| 3 |
Sold $13,400 of merchandise costing $8,800 to Gauthier Company and accepted Gauthier's two-month, 6% note in payment. Interest is payable at maturity. |
| 26 |
Sold $8,000 of merchandise to Mathias Corp., terms n/30. The cost of the merchandise sold was $5,400. |
| Mar.6 |
Sold $4,000 of merchandise that cost $3,000 to Superior Limited. Superior paid using a bank credit card that has a 3% fee. |
| 31 |
Accepted a two-month, 7%, $8,000 note from Mathias for the balance due. Interest is payable at maturity.
|
| 31 |
Adjusted any accrued interest at year end on notes and credit card receivables. |
| Apr.1 |
Collected full payment from Morgan Ltd. |
| 3 |
Collected the Gauthier note in full. |
| May31 |
The Mathias note of March 31 is dishonoured. It is expected that Mathias will eventually pay the amount owed. |
| June1 |
Collected the Brooks note in full. |