Gg.7. On September 25, Sunland Distributors receives an order from Sarasota Italian Supermarkets for 124 cases of extra virginolive oil. Sunland accepts the order, which needs to be delivered to Sarasota's warehouse, and Sarasota agrees to paywithin 30 days of the receipt of the product. Each case of extra virgin olive oil contains 12 bottles at a selling price of $7.00each. Sunland's cost is $3/ bottle. The shipment is received at Sarasota's warehouse on October 2, and Sarasota mails acheque to Sunland at the end of the agreed upon payment terms. Sunland Distributors used a contact-based approach torevenue recognition.Determine if there is a contract between Sunland Distributors and Sarasota Italian Supermarkets.If there is a contract, record Sunland's entries related to these transactions. (If no entry is required, select "No Entry" for the accounttitles and enter o for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually.List debit entries before credit entries.)Date Account Titles and ExplanationSep. 25Oct. 2Oct. 2Oct. 31(To record sales on credit)(To record cost of goods sold)Debit11Credit

As per given info we can say that yes there is a contract between the two…

Answered: On September 25, land Dist butors…

Business

Accounting

On September 25, land Dist butors receives an order from Sarasota Ita

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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