Correcting errors in the cash receipts journal (Obj. 4) P6-3A The following cash receipts journal of Trilogy Buying Cooperative contains five entries. All five entries are for legitimate cash receipt transactions, but the journal contains some errors in recording the transactions. In fact, only one entry is correct, and each of the other four entries contains one error. Cash Receipts Journal Page 22 Debits Credits Other Accounts Cost of Goods Date Cash Sales Accounts Discounts Receivable Sales Revenue Post. Account Title Ref. Amount Sold Debit Inventory Credit 2/6 7.200 7,200 2,900 7 429 22 Paul Dalton 451 14 8.200 Note Receivable 15 Interest Revenue 45 55 7,700 500 18 330 150 24 1.100 770 28 9.729 7.222 770 7,530 Totals 8.651 3,050 (11) (42) (12) (41) (X) (51/13) Total Dr. $16.951 Total Cr. $16.951 Required 258 CHAPTER 6 1. Identify the correct entry 2. Identify the error in each of the other four entries. 3. Using the following format, prepare a corrected cash receipts journal.

Cash Receipts Journal Debits Credits Other Accounts Date Sales Accounts Cash Discounts Receivable Sales Revenue Account Title Post. Ref. 14 674 2/6 Paul Dalton Note Receivable 15 Interest Revenue 45 55 Page 22 Cost of Goods Sold Debit Amount Inventory Credit 18 24 28 16,929 22 1.221 7,530 Totals 8.200 3.050 (11) (42) (12) (41) (X) (51/13) Total Dr. $16.951 Total Cr. $16.951