Problem 7-03A a-c (Video) The chart of accounts of Crane Company includes the following selected accounts. 112 Accounts Receivable 401 Sales Revenue 120 Inventory 412 Sales Returns and Allowances 126 Supplies 505 Cost of Goods Sold 157 Equipment 610 Advertising Expense 201 Accounts Payable In July, the following transactions were completed. All purchases and sales were on account. The cost of all merchandise sold was 70% of the sales price. July 1 Purchased merchandise from Eby Company $8,240. 2 Received freight bill from Shaw Shipping on Eby purchase $360. 3 Made sales to Fort Company $1,970 and to Hefner Bros. $2,160. 5 Purchased merchandise from Getz Company $3,150. 8 Received credit on merchandise returned to Getz Company $340. 13 Purchased store supplies from Dayne Supply $740. 15 Purchased merchandise from Eby Company $3,660 and from Bosco Company $4,340. 16 Made sales to Aybar Company $3,750 and to Hefner Bros. $1,800. 18 Received bill for advertising from Welton Advertisements $580. 21 Sales were made to Fort Company $150 and to Duncan Company $3,380. 22 Granted allowance to Fort Company for merchandise damaged in shipment $50. 24 Purchased merchandise from Getz Company $3,040. 26 Purchased equipment from Dayne Supply $800. 28 Received freight bill from Shaw Shipping on Getz purchase of July 24, $310. 30 Sales were made to Aybar Company $5,080. Journalize the transactions above in a purchases journal, a sales journal, and a general journal. (Record entries in the order displayed in the problem statement.) Purchases Journal PI Ref. Account Credited (Debited) Accounts Payable Cr. Date Other Accounts Dr. Inventory Dr. 126/ 610 CALCULATOR FULL SCREEN 610/ 1577 (201) (120) (X) Sales Journal S1 Accounts Receivable Dr. Ref. Sales Revenue Cr. Cost of Goods Sold Dr. Inventory Cr. Date Account Debited a 4 BACK (112X401) (505)(120) (Credit account titles are automatically indented when amount is entered. Do not indent manually. Record journal entries in the order presented in the problem.) Date Account Titles and Explanation Debit Credit SHOW LIST OF ACCOUNTS LINK TO TEXT LINK TO TEXT FULL SCREEN PRINTER VERSION BACK NEXT Post to both the general and subsidiary ledger accounts. (Assume that all accounts have zero beginning balances.). (Post entries in the order of entries presented in the previous part.) General Ledger Accounts Receivable Date Explanation Ref. Debit No. 112 Credit Balance SI GI Inventory No. 120 Date Explanation Ref. Debit Credit Balance P1 GI SI No. 126 Supplies Date Explanation Ref. Debit Credit Balance PI Equipment No. 157 Date Explanation Ref. Debit Credit Balance Equipment Date No. 157 Explanation Ref. Debit Credit Balance P1 Accounts Payable Date Explanation Ref. No. 201 Debit Credit Balance PI G1 Sales Revenue Date No. 401 Explanation Ref. Debit Credit Balance SI No. 412 Sales Returns and Allowances Date Explanation Ref. Debit Credit Balance GI No. 505 Cost of Goods Sold Date Explanation Ref. Debit Credit Balance SI No. 610 Advertising Expense Date Explanation Ref. Debit Credit Balance No. 610 Advertising Expense Date Explanation Ref. Debit Credit Balance PI Accounts Receivable Subsidiary Ledger Herner Bros. Date Explanation Ref Debit Credit Balance S1 S1 o Fort Company Date Explanation Ref. Debit Credit Balance SI SI GI Aybar Company Date Explanation Ref. Debit Credit Balance SI Aybar Company Date Explanation Ref. Debit Credit Balance SI si Duncan Company Date Explanation Ref. Debit Credit Balance Si Accounts Payable Subsidiary Ledger Dayne Supply Date Explanation Ref. Debit Credit Balance P1 P1 Shaw Shipping Date Explanation Ref. Debit Credit Balance P1 P1 CALCULATOR FULL SCREEN PRINTER VERSION Eby Company Date Explanation Ref. Debit Credit Balance PI P1 Getz Company Date Explanation Ref. Debit Credit Balance PI GI P1 Welton Advertisements Date Explanation Ref. Debit Credit Balance PI Bosco Company Date Explanation Ref. Debit Credit Balance P1 Prove the agre Accounts receivable balance $ Subsidiary account balances Total $ Accounts payable balance $ Subsidiary account balances FULL SCREEN Subsidiary account balances $ II Total $
