Exercise 8-2 Selected transactions follow for Marx Sports Ltd. during the company's first month of business. The company uses a perpetual inventory system. Feb. 2 4 5 8 10 14 17 Sold $1,145 of merchandise to Andrew Noren on account, terms n/30. The goods had cost Marx $759. Andrew Noren returned for credit $141 of the merchandise purchased on February 2. The goods had cost Marx $84 and they were returned to inventory. Sold $755 of merchandise to Dong Corporation on account, terms 2/10, n/30. The goods had cost Marx $488. Sold $847 of merchandise to Michael Collins for cash. The goods had cost Marx $617. Sold $915 of merchandise to Rafik Kurji, who paid with a credit card. The goods had cost Marx $677. Dong Corporation paid its account in full. Andrew Noren purchased an additional $702 of merchandise on account, terms n/30. The goods had cost Marx $413. Sold $1,734 of merchandise to Batstone Corporation on account, terms 2/10, n/30. The goods had cost Marx $1,103. Andrew Noren paid $1,004 on account. 22 28 Date Account Titles and Explanation Debit Credit (To record sales) (To record cost of goods sold) (To record sales returns) (To record cost of goods returned) (To record sales) (To record cost of goods sold) (To record sales) (To record cost of goods sold) (To record sales) (To record cost of goods sold) Feb. 14 (To record sales) (To record cost of goods sold) (To record sales) (To record cost of goods sold) Set up T accounts for the Accounts Receivable general ledger (control) account and for the Accounts Receivable subsidiary ledger accounts. Post the journal entries to these accounts. Accounts Receivable Subsidiary Ledger Andrew Noren V V V Dong Corporation Batstone Corporation General Ledger Control Account Accounts Receivable V SHOW LIST OF ACCOUNTS LINK TO TEXT Prepare a list of customers and the balances of their accounts from the subsidiary ledger. Prove that the total of the subsidiary ledger balances is equal to the control account balance Subsidiary listing Andrew Noren Dong Corporation Batstone Corporation Total Balance per general ledger control account