KBM Distributors Company Information The chart of accounts of KBM Distributors includes the following selected accounts, along with their account numbers: Cash.. Accounts Receivable.. Notes Receivable. Inventory. Supplies... .110 Land... 170 120 Sales Revenue.. 410 125 Sales Discounts. 420 .130 Sales Returns and Allowances.... 430 140 Cost of Goods Sold.. 505 All credit sales are on the company's standard terms of 2/10, n/30. Transactions in January that affected sales and cash receipts were as follows: Jan. 2 Sold inventory on credit to Moorea Inc., $2,300. KBM's cost of these goods was $1,380. 4 Cash sales of merchandise for the week totaled $9,510 (cost, $5,706). 8 Sold merchandise on account to A.M. Thornton, $46,000 (cost, $27,600) 10 As a favour to a competitor, sold supplies at cost, $4,300, receiving cash. 10 Sold goods on account to Sloan Forge Ltd., $14,416 (cost, $8,650). 11 Cash sales of merchandise for the week were $8,424 (cost $6,120). 11 Received cash from Moorea Inc. in full settlement of its account receivable from January 2 14 Sold inventory on credit to the partnership of Wilkie & Blinn, $14,600 (cost, $9,040). 16 Sold merchandise on account to Sloan Forge Ltd., $2,526 (cost, $1,800). 18 Cash sales of merchandise for the week were $3,960 (cost $2,760). 22 Received $16,000 cash from A.M. Thornton in partial settlement of her account receivable. 23 Received cash from Wilkie & Blinn for its account receivable from January 14 24 Sold goods on account to Olsen Inc., $6,080 (cost, $4,200) 25 Cash sales of merchandise for the week were $15,096 (cost $9,840). 28 Collected $10,500 on a note receivable. 29 Sold inventory on account to new customer, R.O. Bankston Inc., $968 (cost, $680). 30 Received goods sold on Jan 24 to Olsen Inc. for $160. The wrong items were shipped. The cost of the goods was $100. 31 Received $18,880 cash on account from A. M. Thornton