Week 1 Date Transaction description Obtained a loan of $43,000 from BitiBank at a simple interest rate of 6% per year. The first interest payment is due at the end of August 2019 and the principal of the loan is to be repaid on June 1, 2022. 1 Purchased 24 boxes of AC/BC T-shirts with cash for $300 each, Check No. 751 2 Purchased 17 boxes of Sounds of Meerkats CDs from Toadstool records for $260 each, terms net 30. 3 3 Paid the full amount owing to Mac records, Check No. 752. Payment fell outside discount period. Purchased 17 boxes of Stereobrain Albums from Mapster records for $340 each, terms 2/10, n/30 5 5 Paid the full amount owing to Phin records, Check No. 753. Payment fell outside discount period. Sold 19 boxes of Sounds of Meerkats CDs to Mel O'Dius for $420 each, plus 5% sales tax, Invoice No. 448 5 Paid sales staff wages of $2,433 for the week up to and including yesterday, Check No. 754. Note that $1,250 of this payment relates to the wages expense incurred during the last week of May. Made cash sale of 71 boxes of AC/BC T-shirts for $500 each plus 5% sales tax 5 7 After completing this practice set page, you should know how to record basic transactions in the journals provided below and understand the posting process in the manual accounting system. Note that you will record the remaining June transactions in the following sections of this practice set. Remember, one purpose of using special journals is to make the posting process more efficient by posting the total of most columns in the special journals after all of the transactions for the period have been recorded However, some parts of a journal entry are still required to be posted on a daily basis. View the company's accounting policies and procedures for details of what is to be posted daily or monthly. Week 1 Date Transaction description Obtained a loan of $43,000 from BitiBank at a simple interest rate of 6% per year. The first interest payment is due at the end of August 2019 and the principal of the loan is to be repaid on June 1, 2022. 1 Purchased 24 boxes of AC/BC T-shirts with cash for $300 each, Check No. 751 2 Purchased 17 boxes of Sounds of Meerkats CDs from Toadstool records for $260 each, terms net 30. 3 3 Paid the full amount owing to Mac records, Check No. 752. Payment fell outside discount period. Purchased 17 boxes of Stereobrain Albums from Mapster records for $340 each, terms 2/10, n/30 5 5 Paid the full amount owing to Phin records, Check No. 753. Payment fell outside discount period. Sold 19 boxes of Sounds of Meerkats CDs to Mel O'Dius for $420 each, plus 5% sales tax, Invoice No. 448 5 Paid sales staff wages of $2,433 for the week up to and including yesterday, Check No. 754. Note that $1,250 of this payment relates to the wages expense incurred during the last week of May. Made cash sale of 71 boxes of AC/BC T-shirts for $500 each plus 5% sales tax 5 7 After completing this practice set page, you should know how to record basic transactions in the journals provided below and understand the posting process in the manual accounting system. Note that you will record the remaining June transactions in the following sections of this practice set. Remember, one purpose of using special journals is to make the posting process more efficient by posting the total of most columns in the special journals after all of the transactions for the period have been recorded However, some parts of a journal entry are still required to be posted on a daily basis. View the company's accounting policies and procedures for details of what is to be posted daily or monthly
