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

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 $430 to B. Facer for $645 cash, invoice no. 5703 5 Purchased $2,450 of merchandise on eredit from Marchant Corp. 7 Sold merchandise costing $1,161 to J. Dryer for $1,683, terms 2/10, n/30, invoice no. 5704 8 Borrowed $8,000 cash by signing a note payable to the bank. 12 Sold merchandise costing $290 to R. Lanb for $464, terms n/30, invoice no. 5705 16 Received $1,649 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 $480 to T. Taylor for $754, terms n/30, invoice no. 5706 Journalize the May transactions that should be recorded in the sales journal assuming the perpetual inventory system is used. SALES JOURNAL Accounts Date Account Debited Invoice Number Receivable Dr Cost of Go Sold Dr

Explanation / Answer

Sales Journal Date Account Debited Invoice No. Account Receivable .Dr Sales..Cr cost of goods sold..Dr Inventory Cr 07-May J.dryer 5704 J. dryer …Dr   $1683 COGS….Dr    $1161 Sales….Cr     $1683 Inventory…Cr $1161 12-May R.Lamb 5705 R.Lamb….Dr $464 COGS….Dr    $290 Sales…Cr       $464 Inventory…Cr $290 25-May T.Taylor 5706 T.Taylor….Dr $754 COGS…..Dr $ 480 Sales….Cr     $754 Inventory …Cr $480 In sales ledger only credit sales are recorded. 2 may transaction was cash transaction to be recorded in cash ledger. 19th may transaction was sale of asset not goods. It should be recorded in General Journal Cash Receipt Journal Date Account Credited Cash..Dr Sales Discount..Dr Account Receivable ..Cr Sales ..Cr Other Account ..Cr COGS…Dr Inventory…Cr 09-Nov Bills Payable $3,400 13-Nov J.Ali (Capital) $4,700 18-Nov $224 $224 COGS…Dr $126 Inventory…Cr $126 27-Nov $853 17$ J Than…. Cr $ 870 In Cash Receipt Ledger only cash receipt are recorded. 3 Nov. transaction to be recorded in purchase ledger 7 Nov. Transaction to be recorded in sales ledger 22 Nov. Transaction to be recorded in cash disbursement account 30 Nov. Transaction to be recorded in Cash disbursement Account

Related Questions

Navigate

• Browse (All)
• Browse F
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.