Question

Group A Problem 8-IA Objective: To record credit sales and sales returns, post them, and prepare a schedule of accounts receivable Houser Supply Company opened on November 12, 20X2. Houser's credit sales and related returns and allowances for the remainder of the month are shown below. Terms of all sales were 2/10,n/30, FOB destination. 20x2 Nov. 15 Sold merchandise on account to Horton Co., $3,700, Invoice No. 1 18 Sold merchandise on account to Duffy Co., $2.550, Invoice No. 2. merchandise on account to J.D. Wells Co., $4,400, Invoice No. 3 Issued Credit Memorandum No. 1 for $400 to Horton Co. for merchandise returned. Sold merchandise on account to Trent Co., $4.100, Invoice No. 4. Sold merchandise on account to Zernik, Inc., $900, Invoice No. 5. Sold merchandise on account to Dufty Co., $3,100, Invoice No. 6. Issued Credit Memorandum No. 2 for $250 to Duffy Co. for merchandise returned. Issued Credit Memorandum No. 3 for $150 to Zernik, Inc. for damages to merchandise caused by improper packing. 25 26 27 28 30 30 30 Sold merchandise on account to Trent Co., $1,300, Invoice No. 7. Directions: 1. Open the following accounts in the accounts receivable ledger: Duffy Co.; Horton Co.; Trent Co.: J.D. Wells Co.; and Zernik, Inc. 2. Open the following accounts in the general ledger: Accounts Receivable, 112; Sales, 411; and Sales Returns and Allowances, 411.1. 3. Record the November transactions in the appropriate journal, either a one-column sales journal (page 1) or a general journal (page 1). Post to the accounts receivable ledger after each transaction, and remember to never record the same transaction in two separate journals. 4. Total the sales journal, and post the column total to the general ledger. Then, post from the general journal to the general ledger 5. Prepare a schedule of acounts receivable. 6. Compare the balance of the Accounts Receivable controlling account with the total of the schedule of accounts receivable. Problem 8-2A Objective: To record sales in a three-column sales journal, total, and post to the issgunts receivable and general ledgers Lt oyy and made the following

Answer 1

SALES JOURNAL 7 Date 8 15-Nov 9 18-Nov 10 24-Nov 11 26-Nov 12 27-Nov 13 28-Nov 14 30-Nov 15 30-Nov Totals 16 17 18 19 20 21 Date Invoice No Account Debited Acct. Rec. Dr Sales Rev. Cr 1 Horton Co 3,700 Duffy Co. J.D. Wells Co 4 Trent Co. 5 Zernk Inc. 6 Duffy Co. 7 Trent Co 4,100 900 3,100 1,300 20,050 General Journal Account Title & explanation Debit Credit 23 25-Nov Sales Returns and Allowances 24 25 26 27 30-Nov Sales Returns and Allowances 28 29 30 Accounts Receivable-Horton Co to record return of inventory) 250 Accounts Receivable-Duffy Co 250 (to record return of inventory) Sheet1/Sheet?/Sheet

30 31 32 30-Nov Sales Returns and Allowances 150 Accounts Receivable-Zernik Co 150 (to record return of inventory) 34 35 6 Account: ARC Duffy Co. 37Date Description 38 39 31-Oct Balance 40 18-Nov Credit sale 41 28-Nov Credit sale 42 30-Nov Sales Returns and Allowances 43 44 Account: ARC Horton Co. 45 Date 46 47 31-Oct Balance 48 15-Nov Credit sale 49 25-Nov Sales Returns and Allowances Ref Debit Credit Balance 0 DR 2550 DR 5650 DR 5,400 DR SJ SJ 3100 250 Description Ref Debit Credit Balance 0 DR 3700 DR 3,300 DR SJ 3700 400

51 52 Account: ARC Trent Co 53 Date Description 54 55 31-Oct Balance 56 26-Nov Credit sale 57 30-Nov Credit sale 58 59 60 Account: ARC J.D. Wells Co. 61 Date 62 63 31-Oct Balance 64 24-Nov Credit sale 65 Ref Debit Credit Balance 4100 1300 0 DR 4100 DR 5400 DR SJ Description Ref Debit Credit Balance 0 DR SJ 4400 DR 68 Account: ARC -Zernik Inc. 69 Dt 70 71 31-Oct Balance 72 27-Nov Credit sale 73 30-Nov Sales Returns and Allowances 74 Description Ref Debit Credit Balance 0 DR 900 DR 750 DR SJ 150

77 Account: Accounts Receiable 112 ate Description Ref Debit Credit Balance 79 80 31-Oct Balance 81 25-Nov Sales Returns and Allowances 82 30-Nov Sales Returns and Allowances 83 30-Nov Sales Returns and Allowances 84 30-Nov Credit sale 85 86 87 Account: Sales 88 Date Dcription 89 90 31-Oct Balance 91 30-Nov Credit sale 92 93 94 95 Account: Sales Return& Allowances 0 DR 400 (400) CR 250 (650) CR 150 (800) CR 19,250 DR SJ 20,050 411 Ref Debit Credit Balance 0 DR SJ 20,05020,050 DR 411.1 Date Description 97 98 31-Oct Balance 99 25-Nov Accounts Receivable -Horton Co 100 30-Nov Accounts Receivable-Duffy Co 101 30-Nov Accounts Receivable-Zernik Co Debit Credit Balance 400 250 150 0 DR 400 DR 650 DR 800 DR

Schedule of Accounts Receivable Account name Amount y C. Horton Co Trent Co. J.D. Wells Co. Zernik Inc Total 5,400 3,300 5400 4400 750 19250.00 19250.00 Accounts Receivable Controlling Account Bal Balance as shown in Schedule 19,250 19250.00