(GST at 5% and PST at 7% [not cumulative] are involved in this problem.) Buzzy Sullivan opened a dry-cleaning store that also sold accessories. The following is the chart of accounts for Buzzy's Cleaning Company of Dauphin.

Here are the transactions for the month of January:

Required
a. Set up accounts in the general ledger (some accounts may not be used in January).
b. Set up accounts in the accounts payable and accounts receivable ledgers as needed.
c. Journalize the above transactions.
d. Record in the accounts payable and accounts receivable ledgers as appropriate.
e. Post to the general ledger as appropriate.
f. Prove that the sum of the subsidiary ledgers is equal to the controlling account balance.
g. Prove the synoptic journal. The headings of the synoptic journal of Buzzy's Cleaning Company will be as follows:

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Chart of Accounts Assets 111 Cash 112 Accounts Receivable 113 Prepaid Insurance 115 Prepaid GST 121 Cleaning Equipment Revenue 411 Cleaning Revenue 412 Sales Discounts 413 Accessory Sales Cost of Goods Sold 511 Purchases 512 Purchases Returns and Allowances 513 Purchases Discounts Liabilities 211 Accounts Payable 212 Bank Loan Payable 215 GST Payable 217 PST Payable Expenses 611 Utilities Expense 612 Advertising Expense 613 Cleaning Supplies Expense Owner's Equity 311 B. Sullivan, Capital 312 B. Sullivan, Withdrawals 313 Income Summary 2012 Jan. Buzzy Sullivan invested $8,000 cash in the business. Paid a five-year insurance policy in advance, $1,500 (no taxes), cheque No. 1. Purchased merchandise on account from Role Company, $900, plus GST. 3 9 9 12 Cleaned shirts for cash, $650, plus PST and GST. Jan. Cleaned suits on account for Pete Daley, $200, plus PST and GST Purchased cleaning equipment on account from Ral Co $900, plus GST Borrowed $6,000 from National Bank. Cleaned shirts for Pete Daley for $50, plus PST and GST on account. Received entire payment from Pete Daley for January 16 transaction less a 2% discount. Purchased merchandise on account from Fresh Air Co $250, plus GST Cleaned slacks on account for Alice Small, $15, plus PST and GST 16 19 20 23 26 26 26 26 Cleaned slacks on account for Alice Small, $15, plus PST 27 27 30 30 and GST. Paid amount due to Role Company less a 2% discount for January 9 transaction, cheque No. 2. Returned $100 worth of cleaning equipment to Ral Company for faulty workmanship. (Remember the GST.) Paid Fresh Air Co. the amount due on the January 26 purchase less a 10% discount, chegue No. 3. Cash sales, $800, plus PST and GST Received amount due from Alice Small on the January 26 transaction, less a 20% sales discount. 30 BUZZY'S CLEANING COMPANY SYNOPTIC JOURNAL Chq. Post. Clean. Sales Accts. Accts. Rec. || Pay, İl GST ||Revenue l Disc. Pur. Disc. Cr.Cr PST Payable Date l Explanation l No. Ref.| Sundry|| Cash Pur. Dr. Cr. Dr. Cr. Dr. Cr. Dr. Cr. Dr. Cr Cr r.