Selected accounts from the chart of accounts of Mercer Company are shown below.

101		Cash		401		Sales Revenue
112		Accounts Receivable		412		Sales Returns and Allowances
120		Inventory		414		Sales Discounts
126		Supplies		505		Cost of Goods Sold
157		Equipment		726		Salaries and Wages Expense
201		Accounts Payable

The cost of all merchandise sold was 60% of the sales price. During January, Mercer completed the following transactions.

Jan. 3		Purchased merchandise on account from Gallagher Co. $10,400.
4		Purchased supplies for cash $90.
4		Sold merchandise on account to Wheeler $6,660, invoice no. 371, terms 1/10, n/30.
5		Returned $400 worth of damaged goods purchased on account from Gallagher Co. on January 3.
6		Made cash sales for the week totaling $3,850.
8		Purchased merchandise on account from Phegley Co. $5,400.
9		Sold merchandise on account to Linton Corp. $5,200, invoice no. 372, terms 1/10, n/30.
11		Purchased merchandise on account from Cora Co. $3,570.
13		Paid in full Gallagher Co. on account less a 2% discount.
13		Made cash sales for the week totaling $5,890.
15		Received payment from Linton Corp. for invoice no. 372.
15		Paid semi-monthly salaries of $14,100 to employees.
17		Received payment from Wheeler for invoice no. 371.
17		Sold merchandise on account to Delaney Co. $2,710, invoice no. 373, terms 1/10, n/30.
19		Purchased equipment on account from Dozier Corp. $5,840.
20		Cash sales for the week totaled $2,980.
20		Paid in full Phegley Co. on account less a 2% discount.
23		Purchased merchandise on account from Gallagher Co. $7,340.
24		Purchased merchandise on account from Atchison Corp. $5,170.
27		Made cash sales for the week totaling $4,010.
30		Received payment from Delaney Co. for invoice no. 373.
31		Paid semi-monthly salaries of $12,190 to employees.
31		Sold merchandise on account to Wheeler $9,870, invoice no. 374, terms 1/10, n/30.

Mercer Company uses the following journals.

1.		Sales journal.
2.		Single-column purchases journal.
3.		Cash receipts journal.
4.		Cash payments journal.
5.		General journal.

Using the selected accounts provided: Record and Post the January transactions in the appropriate journal noted. Foot and cross-foot all special journals. (Record entries in the order displayed in the problem statement.)

Sales Journal S1 Accounts Receivable Dr. no. Ra. sa r Cost of Goods Sold Dr. Inventory Cr. Date Account Debited (112)(401) (505)(120) Purchases Journal P1 Inventory Dr. Date Account Credited Ref. Accounts Payable Cr