Exceptional Electronics began operations September 1, 2019. The firm sells its m
ID: 2393520 • Letter: E
Question
Exceptional Electronics began operations September 1, 2019. The firm sells its merchandise for cash and on open account. Sales are subject to a 7 percent sales tax. During September, Exceptional Electronics engaged in the following transactions.
Sold a high-definition television set on credit to Candy Cho; issued Sales Slip 101 for $3,000 plus sales tax of $210.
Sold stereo equipment on credit to Jim Peterson; issued Sales Slip 102 for $900 plus sales tax of $63.
Sold a microwave oven on credit to Bridgette Huffman; issued Sales Slip 103 for $200 plus sales tax of $14.
Accepted return of defective stereo equipment from Jim Peterson; issued Credit Memorandum 101 for $100 plus sales tax of $7. The stereo equipment was sold on September 3.
Recorded cash sales for the period from September 1 to September 15 of $9,200 plus sales tax of $644.
Sold a gas dryer on credit to Kathy Sundstrand; issued Sales Slip 104 for $500 plus sales tax of $35.
Sold a home entertainment system on credit to Mark Navalta; issued Sales Slip 105 for $2,000 plus sales tax of $140.
Received payment in full from Jim Peterson for the sale of September 3, less the return of September 12.
Gave Mark Navalta an allowance because of scratches on his home entertainment system sold on September 17, Sales Slip 105; issued Credit Memorandum 102 for $200 plus sales tax of $14
Sold a dishwasher on credit to Mark Navalta; issued Sales Slip 106 for $600 plus sales tax of $42.
Recorded cash sales for the period from September 16 to September 30 of $11,700 plus sales tax of $819.
GENERAL LEDGER ACCOUNTS
Sales Tax Payable
GENERAL LEDGER ACCOUNTS
ACCOUNTS RECEIVABLE LEDGER ACCOUNTS
Required:
Post the entries from the general journal into the appropriate accounts in the general ledger and in the accounts receivable ledger.
Prepare a schedule of accounts receivable.
Analyze:
What is the amount of sales tax owed at September 30, 2019?
Sold a high-definition television set on credit to Candy Cho; issued Sales Slip 101 for $3,000 plus sales tax of $210.
3Sold stereo equipment on credit to Jim Peterson; issued Sales Slip 102 for $900 plus sales tax of $63.
7Sold a microwave oven on credit to Bridgette Huffman; issued Sales Slip 103 for $200 plus sales tax of $14.
12Accepted return of defective stereo equipment from Jim Peterson; issued Credit Memorandum 101 for $100 plus sales tax of $7. The stereo equipment was sold on September 3.
15Recorded cash sales for the period from September 1 to September 15 of $9,200 plus sales tax of $644.
16Sold a gas dryer on credit to Kathy Sundstrand; issued Sales Slip 104 for $500 plus sales tax of $35.
17Sold a home entertainment system on credit to Mark Navalta; issued Sales Slip 105 for $2,000 plus sales tax of $140.
18 Received $760 from Candy Cho on account. 20Received payment in full from Jim Peterson for the sale of September 3, less the return of September 12.
25Gave Mark Navalta an allowance because of scratches on his home entertainment system sold on September 17, Sales Slip 105; issued Credit Memorandum 102 for $200 plus sales tax of $14
27 Received payment in full from Bridgette Huffman for the sale of September 7 29Sold a dishwasher on credit to Mark Navalta; issued Sales Slip 106 for $600 plus sales tax of $42.
30Recorded cash sales for the period from September 16 to September 30 of $11,700 plus sales tax of $819.
Explanation / Answer
Date/S.N
Particulars
Slip
Credit ($)
Credit ($)
1
Candy Cho
Sales
Sales Tax Payable
S.S. 101
3,210.00
.........
3,000.00
210.00
2
Jim Peterson
Sales
Sales Tax Payable
S.S. 102
963.00
........
900.00
63.00
3
Bridgette Huffman
Sales
Sales Tax Payable
S.S. 103
214.00
........
200.00
14.00
4
Sales Return and Allowances
Sales Tax Payable
Jim Peterson
C.M. 101
100.00
7.00
........
........
107.00
5
Cash
Sales
Sales Tax Payable
-
9,844.00
........
9,200.00
644.00
6
Kathy Sundstrand
Sales
Sales Tax Payable
S.S. 104
535.00
........
500.00
35.00
7
Mark Navalta
Sales
Sales Tax Payable
S.S. 105
2,140.00
........
2,000.00
140.00
8
Cash
Candy Cho
-
760.00
........
760.00
9
Cash
Jim Peterson
-
856.00
........
856.00
10
Sales Return and Allowances
Sales Tax Payable
Mark Navalta
C.M. 102
200.00
14.00
........
........
214.00
11
Cash
Bridgette Huffman
-
214.00
........
214.00
12
Mark Navalta
Sales
Sales Tax Payable
S.S. 106
642.00
........
600.00
42.00
13
Cash
Sales
Sales Tax Payable
-
12,519.00
........
11,700.00
819.00
CASH
Particulars
Debit
Particulars
Credit
Sales
9,200.00
Balance c/d
23979
Sales Tax Payable
644.00
Candy Cho
760.00
Jim Peterson
856.00
Sales
11,700.00
Sales Tax Payable
819.00
TOTAL
23,979.00
TOTAL
23,979.00
SALES
Particulars
Debit
Particulars
Credit
Income Statement (P/L)
Candy Cho
3,000.00
Jim Peterson
900.00
Bridgette Huffman
200.00
Cash
9,200.00
Kathy Sundstrand
500.00
Mark Navalta
2,000.00
Mark Navalta
600.00
Cash
11,700.00
TOTAL
28,100.00
TOTAL
28,100.00
SALES RETURN AND ALLOWANCE
Particulars
Debit
Particulars
Credit
Jim Peterson
100.00
Income Statement (P/L)
300
Mar Navalta
200.00
TOTAL
300.00
TOTAL
300.00
SALES TAX PAYABLE
Particulars
Debit
Particulars
Credit
Jim Peterson
7.00
Candy Cho
210.00
Jim Peterson
63.00
Bridgette Huffman
14.00
Cash
644.00
Kathy Sundstrand
35.00
Mark Navalta
140.00
Mark Navalta
42.00
Cash
819.00
TOTAL
1,967.00
TOTAL
1,967.00
CANDY CHO
Particulars
Debit
Particulars
Credit
Sales
3,000.00
Cash
760.00
Sales Tax Payable
210.00
Balance c/d
2,450.00
TOTAL
3,210.00
TOTAL
3,210.00
JIM PETERSON
Particulars
Debit
Particulars
Credit
Sales
900.00
Sales Return And Allowance
100.00
Sales Tax Payable
63.00
Sales Tax Payable
7.00
Cash
856.00
TOTAL
963.00
TOTAL
963.00
BRIDGETTE HUFFMAN
Particulars
Debit
Particulars
Credit
Sales
200.00
Cash
214.00
Sales Tax Payable
14.00
TOTAL
214.00
TOTAL
214.00
KATHY SUNDSTRAND
Particulars
Debit
Particulars
Credit
Sales
500.00
Balance c/d
535.00
Sales Tax Payable
35.00
TOTAL
535.00
TOTAL
535.00
MARK NAVALTA
Particulars
Debit
Particulars
Credit
Sales
2,000.00
Sales Return And Allowance
200.00
Sales Tax Payable
140.00
Sales Tax Payable
14.00
Sales
600.00
Balance c/d
2,568.00
Sales Tax Payable
42.00
TOTAL
2,782.00
TOTAL
2,782.00
Date/S.N
Particulars
Slip
Credit ($)
Credit ($)
1
Candy Cho
Sales
Sales Tax Payable
S.S. 101
3,210.00
.........
3,000.00
210.00
2
Jim Peterson
Sales
Sales Tax Payable
S.S. 102
963.00
........
900.00
63.00
3
Bridgette Huffman
Sales
Sales Tax Payable
S.S. 103
214.00
........
200.00
14.00
4
Sales Return and Allowances
Sales Tax Payable
Jim Peterson
C.M. 101
100.00
7.00
........
........
107.00
5
Cash
Sales
Sales Tax Payable
-
9,844.00
........
9,200.00
644.00
6
Kathy Sundstrand
Sales
Sales Tax Payable
S.S. 104
535.00
........
500.00
35.00
7
Mark Navalta
Sales
Sales Tax Payable
S.S. 105
2,140.00
........
2,000.00
140.00
8
Cash
Candy Cho
-
760.00
........
760.00
9
Cash
Jim Peterson
-
856.00
........
856.00
10
Sales Return and Allowances
Sales Tax Payable
Mark Navalta
C.M. 102
200.00
14.00
........
........
214.00
11
Cash
Bridgette Huffman
-
214.00
........
214.00
12
Mark Navalta
Sales
Sales Tax Payable
S.S. 106
642.00
........
600.00
42.00
13
Cash
Sales
Sales Tax Payable
-
12,519.00
........
11,700.00
819.00
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