Chen Company uses a two column sales journal and a six column cash receipts journal For each of the following transactions, indicate (a) the journal, and (b) the columns in the journal that should be used in recording each transaction (Enter answers in alphabetical order for the Dr column ) (b) Columns in the Journal Transactions (a) Journal Dr Cr Description 1 Received cash from sale of merchandise PurchasesCash ReceiptsCash PaymentsSalesGeneral CashSales DiscountsCost of Goods SoldAccounts ReceivableSales RevenueAccounts PayableSales ExpenseInventoryOther Accounts Sales RevenueOther AccountsCost of Goods SoldSales ExpenseAccounts ReceivableCashAccounts PayableSales DiscountsInventory (To record cash received) InventoryCashOther AccountsSales DiscountsCost of Goods SoldSales ExpenseAccounts PayableSales RevenueAccounts Receivable Cost of Goods SoldSales ExpenseCashAccounts ReceivableSales RevenueSales DiscountsInventoryOther AccountsAccounts Payable (To record sale of merchandise) 2 Sold merchandise on credit GeneralSalesCash PaymentsCash ReceiptsPurchases Other AccountsSales ExpenseCost of Goods SoldCashAccounts PayableAccounts ReceivableSales DiscountsSales RevenueInventory Other AccountsSales ExpenseCost of Goods SoldInventorySales DiscountsAccounts PayableAccounts ReceivableSales RevenueCash (To record sale of merchandise on credit) Cost of Goods SoldOther AccountsInventorySales DiscountsCashSales ExpenseAccounts PayableAccounts ReceivableSales Revenue Sales DiscountsSales ExpenseAccounts ReceivableCashCost of Goods SoldOther AccountsSales RevenueInventoryAccounts Payable (To record sale of merchandise) 3 Received a check from customer in payment of an invoice less a 2 discount Cash PaymentsCash ReceiptsPurchasesGeneralSales Sales RevenueAccounts ReceivableCashSales DiscountsAccounts PayableInventoryOther AccountsSales ExpenseCost of Goods Sold Sales DiscountsCashOther AccountsCost of Goods SoldAccounts PayableAccounts ReceivableInventorySales ExpenseSales Revenue Accounts ReceivableInventorySales DiscountsSales ExpenseCost of Goods SoldOther AccountsAccounts PayableSales RevenueCash InventoryAccounts PayableSales DiscountsCashAccounts ReceivableCost of Goods SoldSales RevenueSales ExpenseOther Accounts 4 Owner made an investment in the business SalesPurchasesCash PaymentsCash ReceiptsGeneral Accounts PayableSales RevenueSales DiscountsCost of Goods SoldOther AccountsInventoryCashSales ExpenseAccounts Receivable InventoryAccounts ReceivableCashCost of Goods SoldAccounts PayableOther AccountsSales DiscountsSales ExpenseSales Revenue

Question

Chen Company uses a two column sales journal and a six column cash receipts journal  For each of the following transactions, indicate (a) the journal, and (b) the columns in the journal that should be used in recording each transaction  (Enter answers in alphabetical order for the  Dr   column ) (b) Columns in the Journal Transactions (a) Journal Dr  Cr  Description 1  Received cash from sale of merchandise  PurchasesCash ReceiptsCash PaymentsSalesGeneral CashSales DiscountsCost of Goods SoldAccounts ReceivableSales RevenueAccounts PayableSales ExpenseInventoryOther Accounts Sales RevenueOther AccountsCost of Goods SoldSales ExpenseAccounts ReceivableCashAccounts PayableSales DiscountsInventory (To record cash received) InventoryCashOther AccountsSales DiscountsCost of Goods SoldSales ExpenseAccounts PayableSales RevenueAccounts Receivable Cost of Goods SoldSales ExpenseCashAccounts ReceivableSales RevenueSales DiscountsInventoryOther AccountsAccounts Payable (To record sale of merchandise) 2  Sold merchandise on credit  GeneralSalesCash PaymentsCash ReceiptsPurchases Other AccountsSales ExpenseCost of Goods SoldCashAccounts PayableAccounts ReceivableSales DiscountsSales RevenueInventory Other AccountsSales ExpenseCost of Goods SoldInventorySales DiscountsAccounts PayableAccounts ReceivableSales RevenueCash (To record sale of merchandise on credit) Cost of Goods SoldOther AccountsInventorySales DiscountsCashSales ExpenseAccounts PayableAccounts ReceivableSales Revenue Sales DiscountsSales ExpenseAccounts ReceivableCashCost of Goods SoldOther AccountsSales RevenueInventoryAccounts Payable (To record sale of merchandise) 3  Received a check from customer in payment of an invoice less a 2  discount  Cash PaymentsCash ReceiptsPurchasesGeneralSales Sales RevenueAccounts ReceivableCashSales DiscountsAccounts PayableInventoryOther AccountsSales ExpenseCost of Goods Sold Sales DiscountsCashOther AccountsCost of Goods SoldAccounts PayableAccounts ReceivableInventorySales ExpenseSales Revenue Accounts ReceivableInventorySales DiscountsSales ExpenseCost of Goods SoldOther AccountsAccounts PayableSales RevenueCash InventoryAccounts PayableSales DiscountsCashAccounts ReceivableCost of Goods SoldSales RevenueSales ExpenseOther Accounts 4  Owner made an investment in the business  SalesPurchasesCash PaymentsCash ReceiptsGeneral Accounts PayableSales RevenueSales DiscountsCost of Goods SoldOther AccountsInventoryCashSales ExpenseAccounts Receivable InventoryAccounts ReceivableCashCost of Goods SoldAccounts PayableOther AccountsSales DiscountsSales ExpenseSales Revenue

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Chen Company uses a two-column sales journal and a six-column cash receipts journal. For each of the following transactions, indicate (a) the journal, and (b)

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			(b) Columns in the Journal
	Transactions	(a) Journal	Dr.	Cr.	Description
1.	Received cash from sale of merchandise.	PurchasesCash ReceiptsCash PaymentsSalesGeneral	CashSales DiscountsCost of Goods SoldAccounts ReceivableSales RevenueAccounts PayableSales ExpenseInventoryOther Accounts	Sales RevenueOther AccountsCost of Goods SoldSales ExpenseAccounts ReceivableCashAccounts PayableSales DiscountsInventory	(To record cash received)
			InventoryCashOther AccountsSales DiscountsCost of Goods SoldSales ExpenseAccounts PayableSales RevenueAccounts Receivable	Cost of Goods SoldSales ExpenseCashAccounts ReceivableSales RevenueSales DiscountsInventoryOther AccountsAccounts Payable	(To record sale of merchandise)
2.	Sold merchandise on credit.	GeneralSalesCash PaymentsCash ReceiptsPurchases	Other AccountsSales ExpenseCost of Goods SoldCashAccounts PayableAccounts ReceivableSales DiscountsSales RevenueInventory	Other AccountsSales ExpenseCost of Goods SoldInventorySales DiscountsAccounts PayableAccounts ReceivableSales RevenueCash	(To record sale of merchandise on credit)
			Cost of Goods SoldOther AccountsInventorySales DiscountsCashSales ExpenseAccounts PayableAccounts ReceivableSales Revenue	Sales DiscountsSales ExpenseAccounts ReceivableCashCost of Goods SoldOther AccountsSales RevenueInventoryAccounts Payable	(To record sale of merchandise)
3.	Received a check from customer in payment of an invoice less a 2% discount.	Cash PaymentsCash ReceiptsPurchasesGeneralSales	Sales RevenueAccounts ReceivableCashSales DiscountsAccounts PayableInventoryOther AccountsSales ExpenseCost of Goods Sold	Sales DiscountsCashOther AccountsCost of Goods SoldAccounts PayableAccounts ReceivableInventorySales ExpenseSales Revenue
			Accounts ReceivableInventorySales DiscountsSales ExpenseCost of Goods SoldOther AccountsAccounts PayableSales RevenueCash	InventoryAccounts PayableSales DiscountsCashAccounts ReceivableCost of Goods SoldSales RevenueSales ExpenseOther Accounts
4.	Owner made an investment in the business.	SalesPurchasesCash PaymentsCash ReceiptsGeneral	Accounts PayableSales RevenueSales DiscountsCost of Goods SoldOther AccountsInventoryCashSales ExpenseAccounts Receivable	InventoryAccounts ReceivableCashCost of Goods SoldAccounts PayableOther AccountsSales DiscountsSales ExpenseSales Revenue