Ming Company’s chart of accounts includes the following selected accounts.

101 Cash 201........Accounts Payable

120 Merchandise Inventory...306 T. Ming, Drawing

130 Prepaid Insurance.....505 Cost of Goods Sold

157 Equipment

On October 1 the accounts payable ledger of Ming Company showed the following balances: Bovary Company $2,700, Nyman Co. $2,500, Pyron Co. $1,800, and Sims Company $3,700. The October transactions involving the payment of cash were as follows.

Oct. 1 Purchased merchandise, check no. 63, $300.

3 Purchased equipment, check no. 64, $800.

5 Paid Bovary Company balance due of $2,700, less 2% discount, check no. 65, $2,646.

10 Purchased merchandise, check no. 66, $2,250.

15 Paid Pyron Co. balance due of $1,800, check no. 67.

16 T. Ming, the owner, pays his personal insurance premium of $400, check no. 68.

19 Paid Nyman Co. in full for invoice no. 610, $1,600 less 2% cash discount, check no. 69, $1,568.

29 Paid Sims Company in full for invoice no. 264, $2,500, check no. 70.

Instructions

(a) Journalize the transactions above in a four-column cash payments journal with columns for Other Accounts Dr., Accounts Payable Dr., Merchandise Inventory Cr., and Cash Cr. Foot and crossfoot the journal.

(b) Insert the beginning balances in the Accounts Payable control and subsidiary accounts, and post the October transactions to these accounts.

(c) Prove the agreement of the control account and the subsidiary account balances.