Each member of the team is to assume responsibility for one of the following tasks. 

a. Journalizing in the purchases journal. 

b. Journalizing in the cash payments journal. 

c. Maintaining and verifying the accounts payable ledger. 

d. Journalizing in the sales journal and the general journal. 

e. Journalizing in the cash receipts journal. 

f. Maintaining and verifying the accounts receivable ledger.

The team should abide by the following procedures in carrying out responsibilities.

Required

1. After tasks a through f are assigned, each team member is to quickly read the list of transactions in Problem 7-1A, identifying with initials the journal in which each transaction is to be recorded. Upon completion, the team leader is to read transaction dates, and the appropriate team member is to vocalize responsibility. Any disagreement between teammates must be resolved. 

2. Journalize and continually update subsidiary ledgers. Journal recorders should alert teammates assigned to subsidiary ledgers when an entry must be posted to their subsidiary ledger. 

3. Team members responsible for tasks a, b, d, and e are to summarize and prove journals; members responsible for tasks c and f are to prepare both payables and receivables schedules. 

4. The team leader is to take charge of the general ledger, rotating team members to obtain amounts to be posted. The person responsible for a journal must complete posting references in that journal. Other team members should verify the accuracy of account balance computations. To avoid any abnormal account balances, post in the following order: P, S, G, R, D. (Note: Posting any necessary individual general ledger amounts is also done at this time.)

5. The team leader is to read out general ledger account balances while another team member fills in the trial balance form. Concurrently, one member should keep a running balance of debit account balance totals and another credit account balance totals. Verify the final total of the trial balance and the schedules. If necessary, the team must resolve any errors. Turn in the trial balance and schedules to the instructor.

Data From Problem 7-1A

Church Company completes these transactions and events during March of the current year (terms for all its credit sales are 2/10, n/30).

Mar. 1. Purchased $43,600 of merchandise from Van Industries, terms 2/15, n/30.
2. Sold merchandise on credit to Min Cho, Invoice No. 854, for $16,800 (cost is $8,400).
3. Purchased $1,230 of office supplies on credit from Gabel Company, terms n/30.
3. Sold merchandise on credit to Linda Witt, Invoice No. 855, for $10,200 (cost is $5,800).
6. Borrowed $82,000 cash from Federal Bank by signing a long-term note payable.
9. Purchased $21,850 of office equipment on credit from Spell Supply, terms n/30.
10. Sold merchandise on credit to Jovita Albany, Invoice No. 856, for $5,600 (cost is $2,900).
12. Received payment from Min Cho for the March 2 sale less the discount of $336.
13. Sent Van Industries Check No. 416 in payment of the March 1 invoice less the discount of $872.
13. Received payment from Linda Witt for the March 3 sale less the discount of $204.
14. Purchased $32,625 of merchandise from the CD Company, terms 2/10, n/30.
15. Issued Check No. 417 for $18,300; payee is Payroll, in payment of sales salaries expense for the first half of the month.
15. Cash sales for the first half of the month are $34,680 (cost is $20,210). These cash sales are recorded in the cash receipts journal on March 15.
16. Purchased $1,770 of store supplies on credit from Gabel Company, terms n/30.
17. Returned $2,425 of unsatisfactory merchandise purchased on March 14 to CD Company. Church reduces Accounts Payable by that amount.
19. Returned $630 of office equipment purchased on March 9 to Spell Supply. Church reduces Accounts Payable by that amount.
20. Received payment from Jovita Albany for the sale of March 10 less the discount of $112.
23. Issued Check No. 418 to CD Company in payment of the March 14 purchase less the March 17 return and the $604 discount.

27. Sold merchandise on credit to Jovita Albany, Invoice No. 857, for $14,910 (cost is $7,220).
28. Sold merchandise on credit to Linda Witt, Invoice No. 858, for $4,315 (cost is $3,280).
31. Issued Check No. 419 for $18,300; payee is Payroll, in payment of sales salaries expense for the last half of the month.
31. Cash sales for the last half of the month are $30,180 (cost is $16,820). These cash sales are recorded in the cash receipts journal on March 31.
31. Verify that amounts impacting customer and creditor accounts were posted and that any amounts that should have been posted as individual amounts to the general ledger accounts were posted. Foot and cross-foot the journals and make the month-end postings.