Exercise 7.12 Accounting with several Journals Crawford & Co. uses sales and purchases journals in its accounting system. The following transactions took place during April (Ignore GST): April 2 5 12 15 Purchased inventory on credit from Bryden Ltd, invoice 567, $560, terms 2/10, n/30. Purchased inventory on credit from H. Rider, invoice 342, $580, terms 2/10, /30. Sold inventory on credit to G. Pier, invoice 154, $1325. Sold inventory on credit to Sonic Ltd, invoice 155, $1120. Purchased inventory on credit from L. Lambert, invoice 1435, $675, 2/10, /30. Sold inventory on credit to Cavallaro Ltd, invoice 156, $760. Sold inventory on credit to L. Burton, invoice 157, $465, 2/10, n/30. 21 25 29 Required (a) Establish all necessary general ledger accounts, accounts receivable subsidiary ledger accounts, and accounts payable subsidiary ledger accounts. Use the following account numbers: Accounts Receivable Control, 104; Accounts Payable Control, 201; Sales, 400; Purchases, 500. (b) Enter the April transactions in the appropriate journals. (c) Post the data from the journals to the appropriate general ledger and subsidiary ledger accounts. (d) Develop a schedule of accounts receivable and a schedule of accounts payable as at 30 April to prove the subsidiary ledger balances against the control accounts. Exercise 7.12 Accounting with several Journals Crawford & Co. uses sales and purchases journals in its accounting system. The following transactions took place during April (Ignore GST): April 2 5 12 15 Purchased inventory on credit from Bryden Ltd, invoice 567, $560, terms 2/10, n/30. Purchased inventory on credit from H. Rider, invoice 342, $580, terms 2/10, /30. Sold inventory on credit to G. Pier, invoice 154, $1325. Sold inventory on credit to Sonic Ltd, invoice 155, $1120. Purchased inventory on credit from L. Lambert, invoice 1435, $675, 2/10, /30. Sold inventory on credit to Cavallaro Ltd, invoice 156, $760. Sold inventory on credit to L. Burton, invoice 157, $465, 2/10, n/30. 21 25 29 Required (a) Establish all necessary general ledger accounts, accounts receivable subsidiary ledger accounts, and accounts payable subsidiary ledger accounts. Use the following account numbers: Accounts Receivable Control, 104; Accounts Payable Control, 201; Sales, 400; Purchases, 500. (b) Enter the April transactions in the appropriate journals. (c) Post the data from the journals to the appropriate general ledger and subsidiary ledger accounts. (d) Develop a schedule of accounts receivable and a schedule of accounts payable as at 30 April to prove the subsidiary ledger balances against the control accounts
