Transactions for SeaSide Marina 

1. Discovered error made by Jack Hobie. One-third ($270.00) of the supplies
purchased from Beach Office Supply on June 2 were actually store supplies rather
than office supplies.
2. Sold merchandise over the counter to Bill Hankins for $115 cash.
3. Sold $2,000 of merchandise to Sail Board City on account; terms 3/10, n/30;
invoice #17.
4. Received a check from Bill Hankins in the amount of $245 to be applied to invoice
#8.
5. Received a check from Laker Marine Supply in full payment of the balance of their
account. You must determine if a discount was taken, and if so, how much it was.
Seaside Marina only grants discounts on the basis of full payment of an invoice within
the discount period.
6. Paid Avis Boat Builders the balance due on Seaside’s June 3 merchandise purchase.
7. Sent a check to Catamaran Corp. in full payment of Seaside’s June 19 merchandise
purchase.
8. Purchased $1200 of merchandise for resale from Tackle Box Supply on account;
terms 2/10, n/30.
9. Purchased $1,400 of merchandise for resale from Nautical Industries on account;
terms 2/10, n/30.
10. Seaside needed additional space and purchased a warehouse to remodel and the
land around it. Prior to arranging permanent financing, Seaside signed a short term
construction note payable. The terms of the note are $50,000, 90 days at 16%. The
building value was determined to be $40,000.
11. Seaside’s ad agency offered Mr. Hobie a special deal. If he purchased an
additional $150 of advertising to be used in August, Seaside would receive free layout
services. Mr. Hobie paid the agency $150 to be recorded as advertising expense.
June 29 (Tuesday)
1. Sold $400 of merchandise to Bass-A-Rama Rentals and $114 of merchandise to
Carl Jenkins. Both customers paid cash.
2. Sold $2150 of merchandise to Waterfront Marina on account; terms 3/10, n/30;
invoice #18.
3. Received a check from Bass-A-Rama Rentals in full payment of invoice #16.
4. Received a check from Waterfront Marina in full payment of invoices #14 and #15.
You must determine the amount of discount allowed, if any.
5. Certain unusable store equipment costing $1,030 was returned by Mr. Hobie and a
credit was received from Office Equipment Company. The remaining balance due on
the store equipment was paid in full.
6. Purchased $260 of merchandise for resale from Catamaran Corp. on account; terms
n/30.
7. Purchased $310 of merchandise for resale from Danforth Tool on account; terms
2/10,n/30.
8. Purchased $1040 of merchandise for resale from Tackle Box Supply on account;
terms 2/10, n/30.
9. Sail Board City returned $840 of merchandise purchased on June 17 and requested
that their account be credited.
10. Requested & Returned $205 of merchandise purchased from Nautical Industries
and was given a credit on the account.
11. Marlinspike Marine signed a 12%, 60-day note dated June 20 to pay the balance
of its account. The note has not been recorded yet. Sale date was June 19.
12. Mr. Hobie leased some extra space in the new warehouse to Wayward Fishers.
Seaside collected $500 for July and August rent. Use the Rent Revenue account.
June 30 (Wednesday)
1. Purchased store supplies costing $810 from Local Supply. Paid cash.
2. Paid Beach Office Supply the balance due on Seaside’s account.
3. Sent a check for $320 to Local Supply to be applied to Seaside’s June 2 purchase.
4. Paid Nautical Industries the balance due on Seaside’s June 28 purchase. You must
determine the discount to be taken, if any. Seaside’s creditor’s only grant discounts on
the basis of full payment of a purchase within the discount period.
5. Sent a check for $1090 to Tackle Box Supply to be applied to Seaside’s account.
6. Seaside Marina was informed that the store equipment returned to Office
Equipment Company had actually cost Seaside Marina $930 rather than $1,030.
Office Equipment Company requested that Mr. Hobie remit a check for $100. Mr.
Hobie sent the check.
7. Sold $200 of merchandise to Carl Jenkins on account; terms n/30; invoice #19.
8. Sold $1920 of merchandise to Pope’s Charters on account; terms 2/10, n/30; invoice
#20.
9. Sold merchandise to Sail Board City for $730 cash.
10. Paid freight of $196 on incoming purchases. These purchases were all FOB
shipping point.
11. Paid $330 for June utilities.
12. Received payment for the balance due from Sail Board City, less discount.
13. The board of directors declared a $950 dividend to be paid on July 2.

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