Sunland 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 Sunland are indicated in the working papers presented below. Also following are a series of transactions for Sunland 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 Number		Account Title		January 1 Opening Balance
101		Cash		$34,250
112		Accounts Receivable		13,300
115		Notes Receivable		41,000
120		Inventory		15,000
126		Supplies		1,000
130		Prepaid Insurance		1,500
157		Equipment		7,350
158		Accumulated DepreciationEquip.		1,600
201		Accounts Payable		35,500
301		Owners Capital		76,300

Schedule of Accounts Receivable (from accounts receivable subsidiary ledger)
Customer		January 1 Opening Balance
R. Beltre		$1,700
B. Santos		7,500
S. Mahay		4,100

Schedule of Accounts Payable (from accounts payable subsidiary ledger)
Customer		January 1 Opening Balance
S. Meek		$8,500
R. Moses		17,000
D. Saito		10,000

Jan.	3		Sell merchandise on account to B. Corpas $3,700, invoice no. 510, and to J. Revere $1,500, invoice no. 511.
	5		Purchase merchandise from S. Gamel $5,000 and D. Posey $2,500, terms n/30.
	7		Receive checks from S. Mahay $4,100 and B. Santos $2,000 after discount period has lapsed.
	8		Pay freight on merchandise purchased $230.
	9		Send checks to S. Meek for $8,500 less 2% cash discount, and to D. Saito for $10,000 less 1% cash discount.
	9		Issue credit of $300 to J. Revere for merchandise returned.
	10		Daily cash sales from January 1 to January 10 total $15,500. Make one journal entry for these sales.
	11		Sell merchandise on account to R. Beltre $1,200, invoice no. 512, and to S. Mahay $900, invoice no. 513.
	12		Pay rent of $1,400 for January.
	13		Receive payment in full from B. Corpas and J. Revere less cash discounts.
	15		Withdraw $800 cash by M. Sunland for personal use.
	15		Post all entries to the subsidiary ledgers.
	16		Purchase merchandise from D. Saito $15,000, terms 1/10, n/30; S. Meek $14,600, terms 2/10, n/30; and S. Gamel $1,500, terms n/30.
	17		Pay $800 cash for office supplies.
	18		Return $400 of merchandise to S. Meek and receive credit.
	20		Daily cash sales from January 11 to January 20 total $20,100. Make one journal entry for these sales.
	21		Issue $17,000 note, maturing in 90 days, to R. Moses in payment of balance due.
	21		Receive payment in full from S. Mahay less cash discount.
	22		Sell merchandise on account to B. Corpas $2,700, invoice no. 514, and to R. Beltre $2,100, invoice no. 515.
	22		Post all entries to the subsidiary ledgers.
	23		Send checks to D. Saito and S. Meek for full payment less cash discounts.
	25		Sell merchandise on account to B. Santos $4,000, invoice no. 516, and to J. Revere $6,900, invoice no. 517.
	27		Purchase merchandise from D. Saito $14,100, terms 1/10, n/30; D. Posey $3,500, terms n/30; and S. Gamel $5,100, terms n/30.
	27		Post all entries to the subsidiary ledgers.
	28		Pay $200 cash for office supplies.
	31		Daily cash sales from January 21 to January 31 total $23,100. Make one journal entry for these sales.
	31		Pay sales salaries $4,400 and office salaries $3,000.

Prepare adjusting entries. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. Record journal entries in the order presented in the problem. List all debit entries before credit entries.)

Date	Account Titles and Explanation	Debit	Credit