create a general journala sales Journal a cash receipts journal A purchases journal and a cash payments Journal neral Journal $-$ the only transactions recorded in this joural are as follows

Return of goods to a supplier

Return of goods by a customer

Sales Journal$-$transactions recorded in this journal include one type ONLY $-$ goods sold on account to a$\_$customer

Cash Receipts Journal $-$ transactions recorded in this joumnal include all entries that include a receipt of cash. It does not matter what the receipt of cash is for, if cash is received then the

transaction gets recorded in this joumal

Purchases Journal $-$ transactions recorded in this journal include all entries that record the purchase of any type of asset, expense, or inventory on account. lf a credit to accounts payable is

recorded then the transactions gets recorded in this joumnal

Cash Payments Journal $-$ transactions recorded in the journal include all entries that require a disbursement or payment of cash $.\_$The payment of cash can be on account, for assets such as

inventory, or day to day expenses

The most important point to remember. Each transaction is recorded in ONLY one of the above journals. If you record a transaction in more than one journal then you have incorrectly recorded th

entry twice

The rules of double entry accounting stil apply to each entry $($ALCREW$),$ Debits $=$ Credits always

Transactions:

$6$ Owner made a cash investment into the company $$26,000$

$7$ Purchased merchandise on account from Racks C$0,$ invoice $.743.$ Terms $2110,$ n$/30,$ $$700.$

$8$ Paid this months' rent, $$920$ to the landlord Shifty Rentals Inc, cheque $202$

$9$ Sold $$2,500$ of merchandise on account to H$.$ Holand, sales invoice $No.1,$ terms $\frac{1}{10},\frac{n}{30}.$ Cost of goods sold $$1,400$

$10$ Sold $$1,200$ of merchandise on account to T$.$ Traer, sales invoice No$.2,$ terms $1/10,$ n$/30.$ Cost of Goods Sold $$550.$

$13$ lssued debit memorandum $.101$ to Racks Co$.$ for damaged goods re: invoice $.743,$$$300.$

$14$ Bought supplies on account from Staples for $$100,$ Invoice # $325,$ term n$/30.$

$15$ Paid salaries, $$700,$ cheque $203$

$17$ Sent cheque $N$ No$.204$ to Racks $Co.$ for invoice $.743$ less the damaged goods returned earlier in the month and less any applicable early payment discount.

$18$ Received cash from $H.$ Holand in payment for transaction earlier this month less any applicable early payment discount.

$22$ issued credit memo $.1$ to T$.$ Traer for $$100$ for merchandise returned from Mar $5$ sale on account. Cost of goods returned $$25.$

$29$ Sold $$500$ merchandise for cash to Jones $C_0,$ sales invoice No$.3.$ Cost of goods sold $$250.$

Chart of Accounts

Assets

$101$ Cash

$104$ Accounts Receivable

$110$ Inventory

$120$ Computer Equipment

$125$ Vehicle

Liabilities

$204$ Accounts Payable

Owner's Equity

$300$ Scott Irwin, Withdrawals

$301$ Scott Iwwin, Capital

Revenue

$400$ Sales

$402$ Sales Discounts

$404$ Sales Returns and Allowances

Expenses

$500$ Advertising Expense

$505$ Rent Expense

$510$ Salaries Expense

$515$ Supplies Expense

$518$ Cost of Goods Sold

$525$ Telephone Expense