GENERAL JOURNAL

$.$ Date Account Titles and Explanation Debit Credit

$.$ May $1$ Rent Expense$-$ Selling Space $2,968\mathrm{.}00$

$.$ Rent Expense$-$ Office Space $742\mathrm{.}00$

$.$ Cash $3,710\mathrm{.}00$

$.$ Paid May's rent

$.$

$.2$ Accounts Receivable$-$ Cole $6,100\mathrm{.}00$

$.$ Sales Revenue $6,100\mathrm{.}00$

$.$ Cost of Goods Sold $4,100\mathrm{.}00$

$.$ Merchandise Inventory $4,100\mathrm{.}00$

$.$ Merchandise Sales on credit

$.$

$.2$ Sales Revenue $175\mathrm{.}00$

$.$ Accounts ReceivableMercer Co$.175\mathrm{.}00$

$.$ Goods returned from April $28$

$.$

$.3$ Accounts Payable$-$Preston $798\mathrm{.}00$

$.$ Merchandise Inventory $798\mathrm{.}00$

$.$ returned goods purchased April $29$

$.$

$.4$ Merchandise Inventory $37,072\mathrm{.}00$

$.$ Accounts PayableDavis Supply Co$.37,072\mathrm{.}00$

$.$ purchased goods invoiced May $4$; terms n$/10,$ EOM

$4$ Store supply Inventory $574$

Accounts Payable$-$Davis Supply $574\mathrm{.}00$

$4$ Office Supply Inventory $83$

Accounts Payable$-$Davis Supply $83$

$.5$ Cash $4,550\mathrm{.}00$

$.$ Sales Discount $175\mathrm{.}00$

$.$ Accounts Receivable$-$Mercer $4,725\mathrm{.}00$

$.$ received payment less return and discount

$.$

$.8$ Accounts Payable$-$Preston $7,098\mathrm{.}00$

$.$ Cash $6,959\mathrm{.}04$

$.$ Purchase Discounts $138\mathrm{.}96$

$.$ paid for goods purchased April $29$ within discount period

$.$

$.9$ Cash $350\mathrm{.}00$

$.$ Store supply Inventory $350\mathrm{.}00$

$.$ received cash for store supplies sold to next door merchant

$.$

$.$

$.10$ Office Equipment $4,074\mathrm{.}00$

$.$ Accounts Payable$-$Davis Supply $4,074\mathrm{.}00$

$.$ purchased goods invoiced May $10$; terms n$/10,$ EOM

$.$

$.11$ Cash $5,986\mathrm{.}00$

$.$ Sales Discount $114\mathrm{.}00$

$.$ Accounts Receivable$-$Cole $6,100\mathrm{.}00$

$.$ Received payment of May $2$ sale less discount

$.$

$.11$ Merchandise Inventory $8,800\mathrm{.}00$

$.$ Accounts Payable$-$Henley $8,800\mathrm{.}00$

$.$ purchased goods, invoiced for May $10$; terms $2/10,$ n$/30$

$.$

$.12$ Accounts Payable$-$Davis Supply $854\mathrm{.}00$

$.$ Office Equipment $854\mathrm{.}00$

$.$ Goods returned from May $10$

$.$

$.15$ Accounts Payable $8,470\mathrm{.}00$

$.$ Accounts Payable $8,470\mathrm{.}00$

$.$ record employees' salaries

$.$

$.15$ Cash $71,620\mathrm{.}00$

$.$ Sales Revenue $71,620\mathrm{.}00$

$.$ Cost of Goods Sold $38,200\mathrm{.}00$

record sales for the first half of the month

$.$ Merchandise Inventory $38,200\mathrm{.}00$

$.$ record sales for the first half of the month

$.$

$.16$ Accounts Receivables$-$Cole $3,990\mathrm{.}00$

$.$ Sales Revenue $3,990\mathrm{.}00$

$.$ Cost of Goods Sold $1,890\mathrm{.}00$

$.$ Merchandise Inventory $1,890\mathrm{.}00$

$.$ record May $16$ sale; terms $2/10,$ n$/30$

$.$

$.17$ Merchandise Inventory $13,650\mathrm{.}00$

$.$ Accounts Payable$-$Summit $13,650\mathrm{.}00$

$.$ purchased goods invoiced May $14$; terms $2/10,$ n$/60$

$.$

$.19$ Accounts Payable$-$Henley $8,800\mathrm{.}00$

$.$ Cash $8,612\mathrm{.}00$

$.$ Purchase Discounts $188\mathrm{.}00$

$.$ Paid for goods invoiced May $10$ within discount period

$.$

$.22$ Accounts Receivable$-$Crane $6,850\mathrm{.}00$

$.$ Sales Revenue $6,850\mathrm{.}00$

$.$ Cost of Goods Sold $4,990\mathrm{.}00$

$.$ Merchandise Inventory $4,990\mathrm{.}00$

$.$ record May $22$ sale; term $2/10,$ n$/60$

$.$

$.23$ Accounts Payable$-$Summit $13,650\mathrm{.}00$

$.$ Cash $13,317\mathrm{.}00$

$.$ Purchase Discounts $333\mathrm{.}00$

$.$ paid for goods invoiced May $14$ within discount period

$.$

$.24$ Merchandise Inventory $8,120\mathrm{.}00$

$.$ Store Supplies $630\mathrm{.}00$

$.$ Office Supplies $280\mathrm{.}00$

$.$ Accounts Payable$-$Davis $9,030\mathrm{.}00$

$.$ purchased goods, invoiced May $24$; terms n$/10$ EOM

$.$

$.25$ Merchandise Inventory $3,080\mathrm{.}00$

$.$ Accounts Payable$-$Preston $3,080\mathrm{.}00$

$.$ purchased goods, invoiced May $23$; terms $2/10,$ n$/30$

$.$

$.26$ Accounts Receivable$-$Crank $14,210\mathrm{.}00$

$.$ Sales Revenue $14,210\mathrm{.}00$

$.$ Cost of Goods Sold $8,230\mathrm{.}00$

$.$ Merchandise Inventory $8,230\mathrm{.}00$

$.$ record May $26$ sale; terms $2/10,$ n$/30$

$.$

$.26$ Utilities Expense$-$Electric $1,283\mathrm{.}00$

$.$ Cash $1,283\mathrm{.}00$

$.$ record payment of May electric bill

$.$

$.29$ Dividends $7,000\mathrm{.}00$

$.$ Cash $7,000\mathrm{.}00$

$.$ cash dividends declared and paid same day

$.$

$.30$ Cash $6,716\mathrm{.}00$

$.$ Sales Discount $134\mathrm{.}00$

$.$ Accounts Receivable$-$Crane $6,850\mathrm{.}00$

$.$ received payment of May $22$ sale less discount

$.$

$.30$ Accounts Payable $8,470\mathrm{.}00$

$.$ Cash $8,470\mathrm{.}00$

$.$ record employees' salaries

$.$

$.31$ Cash $66,052\mathrm{.}00$

$.$ Sales Revenue $66,052\mathrm{.}00$

record sales for the last half of the month

$.$ Cost of Goods Sold $42,500\mathrm{.}00$

$.$ Merchandise Inventory $42,500\mathrm{.}00$

$.$ record sales for the last half of the month

$.$

$.423,428\mathrm{.}00423,428\mathrm{.}00,$ for the payment received on the $5$th$,$ remember I mentioned you needed to adjust that for the credit memo issued on the $2$nd$,$

The transaction on the $9$th$,$ we are not in the business of selling office supplies and thus we would not recognize sales revenue, nor would we recognize cost of goods sold. We just recognize the cash and the reduction of the supplies.

For the salaries payment, "accounts payable" is an account used for payment due to our vendors, not employees. If we immediately cut a check, we do not have to create a payables.

Check the dollar amount to be paid to Henley on the $19$th