On March 1, Sather Co. sold merchandise to Boone Co. on account, $28,400, terms 2/15, n/30. The cost of the merchandise sold is $19,500. The merchandise was paid for on March 14. Assume all discounts are taken.

Required:

Journalize the entries for Sather Co. and Boone Co. for the sale, purchase, and payment of amount due. Refer to the appropriate companys Chart of Accounts for exact wording of account titles.

Chart of Accounts-Sather Co. General Ledger ASSETS REVENUE 410 Sales 110 Cash 121 Accounts Receivable-Boone Co. 125 Notes Receivable 610 Rent Revenue 130 Merchandise Inventory EXPENSES 140 Office Supplies 141 Store Supplies 142 Prepaid Insurance 180 Land 192 Store Equipment 501 Cost of Merchandise Sold 521 Delivery Expense 522 Advertising Expense 524 Depreciation Expense-Store Equipment 525 Depreciation Expense-Office Equipment 531 Rent Expense 533 Insurance Expense 534 Store Supplies Expense 535 Office Supplies Expense 193 Accumulated Depreciation-Store Equipment 194 Office Equipment 195 Accumulated Depreciation Office Equipment LIABILITIES 536 Credit Card Expense 539 Miscellaneous Expense 710 Interest Expense 210 Accounts Payable 218 Sales Tax Payable 219 Customers Refunds Payable 220 Unearned Rent 221 Notes Payable EQUITY 310 Owner, Capital 311 Owner, Drawing 312 Income Summary Chart of Accounts-Boone Co. ASSETS 110 Cash 120 Accounts Receivable REVENUE 410 Sales 610 Rent Revenue 125 Notes Receivable 130 Merchandise Inventory 140 Office Supplies 141 Store Supplies 142 Prepaid Insurance 180 Land EXPENSES 501 Cost of Merchandise Sold 521 Delivery Expense 522 Advertising Expense 524 Depreciation Expense-Store Equipment 525 Depreciation Expense-Office Equipment 531 Rent Expense 533 Insurance Expense 534 Store Supplies Expense 535 Office Supplies Expense 192 Store Equipment 193 Accumulated Depreciation-Store Equipment 194 Office Equipment 195 Accumulated Depreciation Office Equipment LIABILITIES 536 Credit Card Expense 539 Miscellaneous Expense 710 Interest Expense 211 Accounts Payable-Sather Co. 218 Sales Tax Payable 219 Customers Refunds Payable 220 Unearned Rent 221 Notes Payable EQUITY 310 Owner, Capital 311 Owner, Drawing 312 Income Summary