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4 Trail balance = $ 5 1 2 , 2 5 6 It is October 1 6 , 2 0 2 0 , and you
Trail balance $
It is October and you have just taken over the accounting work for China Moon Products, whose annual accounting period ends October The companys previous accountant journalized its transactions through October and posted all items that required posting as individual amounts, as an examination of the journals and ledgers in the Working Papers will show.
The company completed these transactions beginning October Terms of all sales credit sales are oct, to oct,
Oct. Purchased office supplies on credit from Green Supply Company, $ Invoice dated October terms n EOM.
Sold merchandise on credit to Heather Flatt, invoice # $ Cost, $
Issued a credit memo to Amy Ion for defective merchandise sold on October and returned for credit, $ The returned merchandise was scrapped.
Received a $ credit memo from Walters Company for merchandise received on October and returned for credit.
Received a $ credit memo from Green Supply Company for office supplies received on October and returned for credit.
Purchased store equipment on credit from Green Supply Company, invoice dated October terms n EOM. $
Sold merchandise on credit to Jan Wildman, invoice # $ Cost, $
Received payment from Heather Flatt for the October sale. Received payment from Amy Ion for the October sale.
Issued cheque # to Walters Company in payment of its October invoice. Issued cheque # to Sunshine Company in payment of its October invoice. Received merchandise with an invoice dated October terms n from Sunshine Company, $
Sold a neighbouring merchant a carton of calculator tape store supplies for cash at cdst $
Marlee Levin, the owner of China Moon Products, used cheque # to withdraw $ cash from the business for personal use. Issued cheque # to Midwest Electric Company in payment of the October electric bill, $ Issued cheque # to Jamie Ford, the company's only sales employee, in payment of her salary for the last half of October, $ Cash sales for the last half of the month were $ Cost, $ Cash sales are usual recorded daily but are recorded
Required
Record the transactions in the journals.
Post to the customer and creditor accounts and also post any amounts that should be posted as individual amounts to the general ledger accounts. Normally, these amounts are posted daily, but they are posted only once in this problem because they are few in number.
Foot and cross foot the journals and make the monthend postings.
Prepare an October trail balance and prepare schedules of accounts receivable and payable.
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