Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

4 Trail balance = $ 5 1 2 , 2 5 6 It is October 1 6 , 2 0 2 0 , and you

4 Trail balance = $512,256
It is October 16,2020, and you have just taken over the accounting work for China Moon Products, whose annual accounting period ends October 31. The companys previous accountant journalized its transactions through October 15 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 16,2020. Terms of all sales credit sales are oct, 2, to oct, 31
- Oct. 16 Purchased office supplies on credit from Green Supply Company, $1,470. Invoice dated October 16, terms n/10 EOM.
-16 Sold merchandise on credit to Heather Flatt, invoice #916. $9.100. Cost, $5,270.
-18 Issued a credit memo to Amy Ion for defective merchandise sold on October 15 and returned for credit, $400. The returned merchandise was scrapped.
-19 Received a $1.280 credit memo from Walters Company for merchandise received on October 15 and returned for credit.
-20 Received a $286 credit memo from Green Supply Company for office supplies received on October 16 and returned for credit. -
-20 Purchased store equipment on credit from Green Supply Company, invoice dated October 19, terms n/10 EOM. $14,800.
-21 Sold merchandise on credit to Jan Wildman, invoice #917, $10,900. Cost, $6,320.
-22 Received payment from Heather Flatt for the October 12 sale. 25 Received payment from Amy Ion for the October 15 sale. -
-25 Issued cheque #623 to Walters Company in payment of its October 15 invoice. -25 Issued cheque #624 to Sunshine Company in payment of its October 15 invoice. -28 Received merchandise with an invoice dated October 28, terms 2/10, n/60, from Sunshine Company, $12,950.-
-28 Sold a neighbouring merchant a carton of calculator tape (store supplies) for cash at cdst. $116.-
-29 Marlee Levin, the owner of China Moon Products, used cheque #625 to withdraw $8,000 cash from the business for personal use. ---30 Issued cheque #626 to Midwest Electric Company in payment of the October electric bill, $1,240.---30 Issued cheque #627 to Jamie Ford, the company's only sales employee, in payment of her salary for the last half of October, $3,260-31 Cash sales for the last half of the month were $132,256. Cost, $76,700. Cash sales are usual recorded daily but are recorded
Required
1. Record the transactions in the journals.
2. 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.
3. Foot and cross foot the journals and make the month-end postings.
4. Prepare an October 31 trail balance and prepare schedules of accounts receivable and payable.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Accounting Regulation In Japan Evolution And Development From 2001 To 2015

Authors: Masatsugu Sanada, Yoshihiro Tokuga

1st Edition

0367221071, 9780367221072

More Books

Students also viewed these Accounting questions

Question

Why are metals shiny?

Answered: 1 week ago

Question

Define the term threshold.

Answered: 1 week ago

Question

7 Describe the role of an HR business partner

Answered: 1 week ago

Question

5 Explain the concept of the psychological contract.

Answered: 1 week ago