The chart of accounts of IT Company includes the following selected accounts

112 Accounts Receivable                 401 Sales Revenue
120 Inventory                                   412 Sales Returns and Allowances
126 Supplies                                     505 Cost of Goods Sold
157 Equipment                                 610 Advertising Expense
201 Accounts Payable

In July, the following selected transactions were completed. All purchases and sales were on account. The cost of all merchandise sold was 70% of the sales price.

July   1 Purchased merchandise from Roy Company $8,000.
          2 Received freight bill from Moss Shipping on Roy purchase $400.
          3 Made sales to Jen Company $1,300, and to O’Dowd Bros. $1,500.
          5 Purchased merchandise from Moon Company $3,200.
          8 Received credit on merchandise returned to Moon Company $300.
        13 Purchased store supplies from Cress Supply $720.
        15 Purchased merchandise from Roy Company $3,600 and from Anton Company $3,300.
        16 Made sales to Sager Company $3,450 and to O’Dowd Bros. $1,570.
        18 Received bill for advertising from Lynda Advertisements $600.
        21 Sales were made to Jen Company $310 and to Haddad Company $2,800.
        22 Granted allowance to Jen Company for merchandise damaged in shipment $40.
        24 Purchased merchandise from Moon Company $3,000.
        26 Purchased equipment from Cress Supply $900.
        28 Received freight bill from Moss Shipping on Moon purchase of July 24, $380.
        30 Sales were made to Sager Company $5,600

Instructions
  (a) Journalize the transactions above in a purchases journal, a sales journal, and a general journal. The purchases journal should have the following column headings: Date, Account Credited (Debited), Ref., Accounts Payable Cr., Inventory Dr., and Other Accounts Dr.
  (b) Post to both the general and subsidiary ledger accounts. (Assume that all accounts have zero beginning balances.)
  (c) Prove the agreement of the control and subsidiary accounts.