ONTARIO TAX

CUISINE HEALTH PLUS INC. is a young company working in the sale of recipe books and kitchen items. Its owner, M Gourmet, is a world-renowned French chef with a passion for fine cuisine. The company uses a periodic inventory system for accounting for its inventory of goods.

Here are its subsidiary ledger balances as of July 31, 2021:

Subsidiary Supplier Ledger Boivin Printing 33,370.00 Mangedeboncoeur and Sons. 54,120.00 DAlcan Ltd. 30,810.00 Gargantua Inc 23,000.00 Bardet Mario Inc. 42,100.00 Total 183,400.00

You will find below the various operations carried out by this company during the month of August 2021.

N.B. All amounts shown are BEFORE Harmonized Sales Tax, unless otherwise indicated.

August 1 Issuance of a $5,000 check payable to La Cit for the payment of tuition fees for the owners son.

2 Cash purchase of office supplies for $3,500, tax included, at Bureautik Inc.

2 Payment by check of the balance of the monthly telecommunications bill of $225 plus taxes (Tlco Inc)

3 Purchase of cookbooks on credit for $5,400 from Bardet Mario Inc. Conditions 2/10, 1/15, n/30. .

4 Return of 2 cases of kitchen items worth $1620 to Bardet Mario Inc. A credit note was issued

5 Purchase on credit of a cookbook for $15,600 at Mangedeboncoeur et Fils c. (payment terms, /30).

6 Purchase of cookbooks on credit at Bric Brac for $1,470. (Payment terms: 3/10, 1/15, n/30).

7 Return of damaged items worth $520 to Bric a Brac. A credit note has been issued.

8 $1300 cash purchase of cooking magazines from Guargantua Inc.

9 Purchase of a truck from Ford Orlans valued at $35,000. A deposit of $15,000 is made at the time of purchase and the balance is financed by a bank loan maturing in 5 years and bearing interest at an annual rate of 8%.

14 Payment of the balance due to Bric Brac.

15 Withdrawal by the financial institution of a sum of $7,500 for semi-monthly salaries deposited directly in employees' bank accounts.

16 Payment of the balance due to DAlcan Lte. The balance represents an invoice dated July 26, 2021 (payment terms 1/10, n/30).

18 Notice of debit of 400 received from Sogebank, relating to interest charges on the bank loan during the acquisition of the truck. 22

25 Partial payment of $17,000 of the balance due to Imprimerie Boivin. (payment terms, /30).

30 August 16 Withdrawal by the financial institution of the sum of $7,500 for semi-monthly salaries deposited directly into employee bank accounts.

Work to do: a) Record all transactions for the month of August 2021 in the appropriate sub-journals and post to the Accounts Payable sub-ledgers when necessary.