Question
Car Geek is a retail store that sells car care products over the Internet. The firms cash receipts for February and the general ledger accounts
Car Geek is a retail store that sells car care products over the Internet. The firms cash receipts for February and the general ledger accounts used to record these transactions are shown below. GENERAL LEDGER ACCOUNTS 101 Cash $ 4,950 Dr. 401 Sales 109 Notes receivable 700 Dr. 491 Interest income 111 Accounts receivable 4,070 Dr. 620 Cash short or over 129 Supplies 600 Dr. 231 Sales tax payable 290 Cr. 301 Ken Sato, Capital 33,000 Cr. DATE TRANSACTIONS Feb. 3 Received $490 from Kelly Stott, a credit customer, on account. 5 Received a cash refund of $119 for damaged supplies. 7 Had cash sales of $4,700 plus sales tax of $376 during the first week of February; there was a cash shortage of $59. 9 Ken Sato, the owner, invested an additional $14,000 cash in the business. 12 Received $370 from Jamie Garrison, a credit customer, in payment of her account. 14 Had cash sales of $4,000 plus sales tax of $320 during the second week of February; there was an overage of $27. 16 Received $440 from Michael Hunt, a credit customer, to apply toward her account. 19 Received a check from Kay Pitts to pay her $700 promissory note plus interest of $28. 21 Had cash sales of $4,500 plus sales tax of $360 during the third week of February. 25 Al Harris, a credit customer, sent a check for $570 to pay the balance he owes. 28 Had cash sales of $4,000 plus sales tax of $320 during the fourth week of February; there was a cash shortage of $35. Required: Open the general ledger accounts and enter the balances as of February 1, 20X1. Record the transactions in a cash receipts journal. Post the individual entries from the Other Accounts Credit section of the cash receipts journal to the proper general ledger accounts. Post the column totals from the cash receipts journal to the proper general ledger accounts. Analyze: What total accounts receivable were collected in February? Prev
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