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High Five Company uses a sales journal, a cash receipts journal, and a general journal to record transactions with its customers. Oct 2 Sold merchandise
High Five Company uses a sales journal, a cash receipts journal, and a general journal to record transactions with its customers. Oct 2 Sold merchandise for $18,000 to M. Rice on account. Credit terms 2/10, n/30. Sales invoice No. 100. The cost of the merchandise sold was $11,700. Oct 5 Received a check for $1,300 from K. Bryant in payment of his account. Oct 8 Sold merchandise to S. O'Neal for $900 cash. The cost of the merchandise sold was $585. Oct 10 Received a check for $17,640 from M. Rice in payment of an invoice dated Oct 2 for $18,000 Oct 15 Sold merchandise for $7,000 to D. Josh on account. Credit terms 1/10, n/30. Sales invoice No. 101. The cost of the merchandise sold was $4,550. Oct 18 Borrowed $15,000 cash from Pacific Bank signing a 6-month, 10% note. Oct 20 Sold merchandise for $12,000 to J. West on account. Credit terms 1/10, n/30. Sales invoice No. 102. The cost of the merchandise sold was $7,800. Oct 31 Received a check from D. Josh for $5,500 as payment on account, no discount given. REQUIRED: Record the transactions for October that should be journalized in sales journal and cash receipt journal. Date Account Debited Sales Journal Invoice No. Acc. Receivable (Dr) Sales revenue (Cr) Cost of goods sold (Dr) Inventory (Cr) Accounts credited Date Cash Receipts Journal Sales Accounts discounts receivable (Dr.) (Cr.) Cash (Dr.) Sales revenue (Cr.) Other accounts (Cr.) Cost of goods sold (Dr.) Inventory (Cr.)
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