During August, Hill Sales Company had these summary transactions:

1.	Cash sales of $240,000, subject to sales taxes of 6%.
2.	Sales on account of $290,000, subject to sales taxes of 6%.
3.	Paid the sales taxes to the state.

Required:

Prepare journal entries to record the preceding transactions.

CHART OF ACCOUNTS

Hill Sales Company

General Ledger

	ASSETS
111	Cash
121	Accounts Receivable
141	Inventory
152	Prepaid Insurance
181	Equipment
189	Accumulated Depreciation

	LIABILITIES
211	Accounts Payable
231	Salaries Payable
250	Unearned Revenue
251	Sales Taxes Payable
261	Income Taxes Payable

	EQUITY
311	Common Stock
331	Retained Earnings

	REVENUE
411	Sales

	EXPENSES
500	Cost of Goods Sold
511	Insurance Expense
512	Utilities Expense
521	Salaries Expense
532	Bad Debt Expense
540	Interest Expense
541	Depreciation Expense
559	Miscellaneous Expenses
910	Income Tax Expense

Prepare journal entries to record Hill Sales Company transactions on August 31.

General Journal Instructions

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GENERAL JOURNAL

	DATE	ACCOUNT TITLE	POST. REF.	DEBIT	CREDIT
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