Questions

1. For each of the following transactions, indicate in which journal the transaction would typically be recorded. Assume the business uses special journals.

1. 1. Purchase merchandise inventory for cash

1. General journal
2. Sales journal
3. Purchases journal
4. Cash receipts journal
5. Cash disbursements journal

1. 2. Collect cash from interest income earned on an investment.

1. General journal
2. Sales journal
3. Purchases journal
4. Cash receipts journal
5. Cash disbursements journal

1. 3. Prepay an insurance premium

1. General journal
2. Sales journal
3. Purchases journal
4. Cash receipts journal
5. Cash disbursements journal

1. 4. Raise cash by issuing a long term note payable to a bank

1. General journal
2. Sales journal
3. Purchases journal
4. Cash receipts journal
5. Cash disbursements journal

1. 5. Purchase office equipment on account

1. General journal
2. Sales journal
3. Purchases journal
4. Cash receipts journal
5. Cash disbursements journal

1. 6. Sell merchandise inventory for cash

1. General journal
2. Sales journal
3. Purchases journal
4. Cash receipts journal
5. Cash disbursements journal

1. 7. Prepay rent on leased warehouse space

1. General journal
2. Sales journal
3. Purchases journal
4. Cash receipts journal
5. Cash disbursements journal

1. 8. Record depreciation expense on office equipment

1. General journal
2. Sales journal
3. Purchases journal
4. Cash receipts journal
5. Cash disbursements journal

1. 9. Purchase merchandise inventory on account

1. General journal
2. Sales journal
3. Purchases journal
4. Cash receipts journal
5. Cash disbursements journal

1. 10. Collect on an account receivable

1. General journal
2. Sales journal
3. Purchases journal
4. Cash receipts journal
5. Cash disbursements journal

1. 11. Record the consumption of prepaid insurance

1. General journal
2. Sales journal
3. Purchases journal
4. Cash receipts journal
5. Cash disbursements journal

1. 12. Sell merchandise inventory on account

1. General journal
2. Sales journal
3. Purchases journal
4. Cash receipts journal
5. Cash disbursements journal

1. 13. Make a payment on an account payable

1. General journal
2. Sales journal
3. Purchases journal
4. Cash receipts journal
5. Cash disbursements journal

1. 14. Receive a cash refund from a vendor for an invoice the business erroneously overpaid in a prior period

1. General journal
2. Sales journal
3. Purchases journal
4. Cash receipts journal
5. Cash disbursements journal

1. 15. Record closing entries

1. General journal
2. Sales journal
3. Purchases journal
4. Cash receipts journal
5. Cash disbursements journal

1. 16. Return defective merchandise inventory to a vendor. The inventory was originally purchased on account and the invoice has not yet been paid.

1. General journal
2. Sales journal
3. Purchases journal
4. Cash receipts journal
5. Cash disbursements journal