A company uses a Sales Journal, a Purchases Journal, a Cash Receipts Journal, a Cash Disbursements Journal, and a General Journal. The following transactions occurred during the month of August.

Aug. 3 L. Fox, the owner of the business, invested \(\$ 30\) in the business.

6 Purchased merchandise for \(\$ 18\) on credit from J Company.

10 Sold merchandise on credit to D. Roy for \(\$ 12\), subject to a \(\$ 2\) sales discount if paid by the end of the month.

12 Borrowed \(\$ 25\) from the bank by giving a note to the bank.

13 Sold merchandise to B. Maddox for \(\$ 9\) cash.

27 Paid J Company \(\$ 18\) for the merchandise purchased on August 6 .

28 Received \(\$ 10\) from D. Roy to pay for the purchase of August 10.

31 Paid salaries of \(\$ 8\).

\section*{Required}

1. On a sheet of notebook paper, draw a multicolumn Cash Receipts Journal like the one that appears in Illustration E-2. (Dollar amounts in this exercise are small so that you may use narrow columns.)

2. Journalize the transactions during August that should be recorded in the Cash Receipts Journal.