Taylor Company completes these transactions and events during March of the current year (terms for all its
Question:
Taylor Company completes these transactions and events during March of the current year (terms for all its credit sales are 2/10, n/30).
Mar. | 1 | Purchased $44,900 of merchandise from Perry Industries, invoice dated March 1, terms 2/15, n/30. | ||
Mar. | 2 | Sold merchandise on credit to Zhang Co., Invoice No. 854, for $32,400 (cost is $19,000). | ||
Mar. | 3 | Purchased $1,300 of office supplies on credit from Perez Co., invoice dated March 3, terms n/10 EOM. | ||
Mar. | 3 | Sold merchandise on credit to Maria Gonzalez, Invoice No. 855, for $15,000 (cost is $9,000). | ||
Mar. | 6 | Borrowed $90,000 cash from Federal Bank by signing a long-term note payable. | ||
Mar. | 9 | Purchased $22,150 of office equipment on credit from Lane Supply, invoice dated March 9, terms n/10 EOM. | ||
Mar. | 10 | Sold merchandise on credit to Jose Garcia, Invoice No. 856, for $12,000 (cost is $7,200). | ||
Mar. | 12 | Received payment from Zhang Co. for the March 2 sale less the discount. | ||
Mar. | 13 | Sent Perry Industries Check No. 416 in payment of the March 1 invoice less the discount. | ||
Mar. | 13 | Received payment from Maria Gonzalez for the March 3 sale less the discount. | ||
Mar. | 14 | Purchased $43,000 of merchandise from the Lee Company, invoice dated March 13, terms 2/10, n/30. | ||
Mar. | 15 | Issued Check No. 417, payable to Payroll, in payment of sales salaries expense for the first half of the month, $20,900. Cashed the check and paid the employees. | ||
Mar. | 15 | Cash sales for the first half of the month are $47,000 (cost is $28,200). (Cash sales are recorded daily, but are recorded only twice here to reduce repetitive entries.) | ||
Mar. | 16 | Purchased $2,800 of store supplies on credit from Perez Co., invoice dated March 16, terms n/10 EOM. | ||
Mar. | 17 | Received a $4,000 credit memorandum from Lee Company for the return of unsatisfactory merchandise purchased on March 14. | ||
Mar. | 19 | Received a $3,320 credit memorandum from Lane Supply for office equipment received on March 9 and returned for credit. | ||
Mar. | 20 | Received payment from Jose Garcia for the sale of March 10 less the discount. | ||
Mar. | 23 | Issued Check No. 418 to Lee Company in payment of the invoice of March 13 less the March 17 return and the discount. | ||
Mar. | 27 | Sold merchandise on credit to Jose Garcia, Invoice No. 857, for $26,000 (cost is $15,600). | ||
Mar. | 28 | Sold merchandise on credit to Maria Gonzalez, Invoice No. 858, for $9,000 (cost is $5,400). | ||
Mar. | 31 | Issued Check No. 419, payable to Payroll, in payment of sales salaries expense for the last half of the month, $20,900. Cashed the check and paid the employees. | ||
Mar. | 31 | Cash sales for the last half of the month are $42,300 (cost is $25,400).
General Journal tab - Each transaction is recorded in either a special journal, or directly in the general journal. If a transaction is to be recorded in a special journal, select "Entered in special journal" in the first account field. Otherwise, prepare the general journal entry. Prepare a journal entry for each of the special journals at month-end. General Ledger and Trial Balance tabs - Journal entries are posted automatically to the general ledger and trial balance. Cash Receipts Journal tab - Enter the transactions that are properly included in this special journal. Cash Disbursements Journal tab - Enter the transactions that are properly included in this special journal. Purchases Journal tab - Enter the transactions that are properly included in this special journal. Sales Journal tab - Enter the transactions that are properly included in this special journal. |
Fundamental Accounting Principles
ISBN: 978-0078110870
20th Edition
Authors: John J. Wild, Ken W. Shaw, Barbara Chiappetta