Pharoah Co. uses a perpetual inventory system and both an accounts receivable and an accounts payable subsidiary ledger. Balances related to both the general ledger and the subsidiary ledgers for Pharoah are indicated in the working papers presented below. Also following are a series of transactions for Pharoah Co. for the month of January. Credit sales terms are 2/10, n/30. The cost of all merchandise sold was 60% of the sales price. GENERAL LEDGER Account January 1 Number Account Title Opening Balance 101 Cash $38,250 112 Accounts Receivable 13,100 115 Notes Receivable 40,000 120 Inventory 20,000 126 Supplies 1,700 130 Prepaid Insurance 2.100 157 Equipment 6.000 158 Accumulated Depreciation-Equip. 1,600 201 Accounts Payable 36,000 301 Owner's Capital 83,550