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Finer Company uses a sales journal, a purchases journal, a cash receipts journal

ID: 2528466 • Letter: F

Question

Finer Company uses a sales journal, a purchases journal, a cash receipts journal, a cash disbursements journal, and a general journal. The following transactions occur in the month of May. May 2 Sold merchandise costing $300 to B. Facer for $450 cash, invoice no.5703. 5 Purchased $2,400 of merchandise on credit from Marchant Corp 7 Sold merchandise costing $800 to J. Dryer for $1,250, terms 2/10, n/30, invoice no. 5704. 8 Borrowed $9,000 cash by signing a note payable to the bank. 12 Sold merchandise costing $200 to R. Lamb for $340, terms n/30 invoice no. 5705 16 Received $1,225 cash from J. Dryer to pay for the purchase of May 7. 19 Sold used store equipment for $900 cash to Golf, Inc. 25 Sold merchandise costing $500 to T. Taylor for $750, terms n/30, invoice no. 5706

Explanation / Answer

Sales Journal

Date

Account Debited

Invoice Number

Account Receivable Dr. Sales Cr.

Cost of Goods Sold Dr. Inventory Cr.

02-05-2017

Cash Account

5703

450

300

05-05-2017

                              -  

                             -  

                                                               -  

                                                                      -  

07-05-2017

250

5704

1000/1250

800

08-05-2017

                              -  

                             -  

                                                               -  

                                                                      -  

12-05-2017

                              -  

5705

340/340

200

16-05-2017

                              -  

                             -  

                                                               -  

                                                                      -  

19-05-2017

                           900

                             -  

900

                                                                      -  

25-05-2017

                              -  

                      5,706

750/750

                                                                   500

Sales Journal

Date

Account Debited

Invoice Number

Account Receivable Dr. Sales Cr.

Cost of Goods Sold Dr. Inventory Cr.

02-05-2017

Cash Account

5703

450

300

05-05-2017

                              -  

                             -  

                                                               -  

                                                                      -  

07-05-2017

250

5704

1000/1250

800

08-05-2017

                              -  

                             -  

                                                               -  

                                                                      -  

12-05-2017

                              -  

5705

340/340

200

16-05-2017

                              -  

                             -  

                                                               -  

                                                                      -  

19-05-2017

                           900

                             -  

900

                                                                      -  

25-05-2017

                              -  

                      5,706

750/750

                                                                   500

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