Question

C5 Problems eBook Show Me How Calculator Print Item Purchases, Accounts Payable Subsidiary Account, and Accounts Payable Ledger Sterling Forest Landscaping designs and installs landscaping. The landscape designers and office staff use office supplies, while field supplies (rock, bark, etc.) are used in the actual landscaping. Purchases on account completed by Sterling Forest Landscaping during October are as follows: Oct. 2. Purchased office supplies on account from Meade Co., $6,260. 5. Purchased office equipment on account from Peach Computers Co., $9,000. 9. Purchased office supplies on account from Executive Office Supply Co., $650. 13. Purchased field supplies on account from Yamura Co., $7,120. 14. Purchased field supplies on account from Omni Co., $940. 17. Purchased field supplies on account from Yamura Co., $16,950. 24. Purchased field supplies on account from Omni Co., $4,780. 29. Purchased office supplies on account from Executive Office Supply Co., $420. 31. Purchased field supplies on account from Omni Co., $6,250. Note: Posting references have been provided. Required: 1. Insert the following balances in the general ledger as of October 1: 14 Field Supplies $12,750 15 Office Supplies 2,930 nament Annn Check My Work 2 more Check My Work uses remaining.

Answer 1

1. as field supplies, office supplies and office equipments are considered as stoch and assets so they reflect debit balance i.e. field supplies 12,750 dr balance , office supplies 2,930 dr balance, office equipment 43,000 dr balance and accounts payable is a current liability it reflects credit balance i.e. Accounts payable 10,940 credit balance.

2. Generally liabilities have a credit balance so the accounts payable executive office supplu co. amounting to $3,610 should be shown in credit side of the executive office supplies co account and meede co. amounting to $7,330 should be shown in the credit side of the meede co. account.

3. oct.2- office supplies a/c Dr and meede co a/c credit for the amount $6,260 oct.5- office equipment a/c Dr and peach computers a/c credit for the amount of $9,000 oct.9- office supplies account debit and executive office supplies a/c credit for the amount 650$ oct.13- field supplies a/c debit and yamura co. a/c credit for the amount $7,120 oct.14- field supplies a/c debit and omni co a/c credit for the amount $940 oct.17- field supplies a/c debit and yamura co. a/c credit for the amount $16,950 oct.24- field supplies a/c debit and omni co. a/c credit for the amount $4,780 oct.29- office supplies a/c debit and executive office supplies co. a/c credit for the amount $420 oct.31- field supplies a/c debit and omni co. a/c credit for the amount $6,250

4. oct.2- meede co. account is credited, $6,260 in accounts payable cr column and in office supplies a/c ; oct.5- peach computers co. account is credited, $9,000 in accounts payable cr column and other accounts dr column; oct.9- executive office supplies account is credited, $650 in accounts payable cr column and in other accounts dr column; oct.13 yamura co. account is credited, $7,120 in accounts payable cr column and in field supplies dr column; oct.14 omni co. account is credited,$940 in accounts payable cr column and field supplies dr column; oct.17 yamura co. is credited, $16,950 in accounts payable cr column and field supplies dr column; oct.24 omni co. account is credited, $4,780 in accounts payable cr column and in field supplies dr column; oct.29 executive office supplies co. is credited, $420 in accounts payable cr column and in office supplies dr column; oct.31 omni co. account is credited, $6,250 in accounts payable cr column and field supplies dr column.

5a. the sum of credit balance in subsidiary ledger is $52,370

5b. the balance of accounts payable at october 31 is $ 63,310