P7.6A (LO2,3) The post-closing trial balance for Horner Co. is shown below. Journalize in special journals; post: prepare a rrial balance. Horner Co. Post-Closing Trial Balance December 31, 2020 GLS Credit Cash Accounts Receivable Notes Receivable Inventory Equipment Accumulated Depreciation-Equipment Accounts Payable Owner's Capital S 41,500 15,000 45,000 23,000 6,450 S 1,500 43,000 86,450 $130,950 $130,950 The subsidiary ledgers contain the following information: (1) accounts receivable-B. Hannigan $2,500, I. Kirk $7.500, and T. Hodges $5,000; (2) accounts payable-T. Igawa $12,000, D. Danford $18,000, and K. Thayer $13,000. The cost of all merchandise sold was 60% of the sales price. The transactions for January 2021 are as follows. Jan. 3 Sell merchandise to M. Ziesmer $8,000, terms 2/10, n/30. 5 Purchase merchandise from E. Pheatt $2,000, terms 2/10, nV30 7 Receive a check from T. Hodges $3,500. 11 Pay freight on merchandise purchased $300. 12 Pay rent of $1,000 for January 13 Receive payment in full from M. Ziesmer 14 Post all entries to the subsidiary ledgers. Issued credit of $300 to B. Hannigan for returned merchandise. 15 Send K. Thayer a check for $12,870 in full payment of account, discount $130 17 Purchase merchandise from G. Roland $1,600, terms 2/10, n/30 18 Pay sales salaries of $2,800 and office salaries $2,000. 20 Give D. Danford a 60-day note for $18,000 in full payment of account payable. 23 Total cash sales amount to $9,100 24 Post all entries to the subsidiary ledgers. Sell merchandise on account to I. Kirk $7,400, terms 1/10, n/30 27 Send E. Pheatt a check for $950 29 Receive payment on a note of $40,000 from B. Stout. 30 Post all entries to the subsidiary ledgers. Return merchandise of $300 to G. Roland for credit. Instructions a. Open general and subsidiary ledger accounts for the following 301 401 412 414 505 726 729 101 Cash 112 Accounts Receivable 115 Notes Receivable 120 Inventory 157 Equipment Owner's Capital Sales Revenue Sales Returns and Allowances Sales Discounts Cost of Goods Sold Salaries and Wages Expense Rent Expense 200 Notes Payable 201 Accounts Payable