Moncado plc has the following selected transactions during March.
Mar. 2 Purchased equipment costing £9,400 from Aleksic Company on account.
5 Received credit of £410 from Dumont Company for merchandise damaged in shipment to Moncado.
7 Issued credit of £365 to Gavin Company for merchandise the customer returned. The returned merchandise had a cost of £245.
Moncado uses a one-column purchases journal, a sales journal, the columnar cash journals used in this appendix, and a general journal.
Instructions
(a) Journalize the transactions in the general journal.
(b) In a brief memo to the president of Moncado plc, explain the postings to the control and subsidiary accounts from each type of journal.