Question

Finer Company uses a sales journal, a purchases journal, a cash recelpts journal, a cash disbursements journal, and a general journal. The following transactions occur in the month of May 2 Sold merchandise costing $400 to B. Facer for $600 cash, invoice no. 5703 5 Purchased $2,8ee of merchandise on credit from Marchant Corp. 7 Sold merchandise costing $1,08e to J. Dryer for $1,566, terms 2/10, n/30, invoice no. 5784. 8 Borrowed $8,000 cash by signing a note payable to the bank 12 Sold merchandise costing $270 to R. Lamb for $432, terms n/30, invoice no. 5705. May 16 Received $1,535 cash from J. Dryer to pay for the purchase of May 7. 19 Sold used store equipment for $900 cash to Golf, Inc 25 Sold merchandise costing $450 to T. Taylor for $787, terms n/30, invoice no. 5706 Journalize the May transactions that should be recorded In the sales journal assuming the perpetual Inventory system is used. SALES JOURNAL Accounts Cost of Goods Date Account Debited Invoice Number Receivable Dr. Sales Cr. Sold Dr. Inventory Cr.

Quiz 7-3

Answer 1

Finer Company Sales Journal Invoice Accounts Receivable Dr. Cost of goods sold Dr. Account Debited Number Sales Cr. Date Inventory Cr. May-07 J. Dryer May-12 R.Lamb May-25 T.Taylor 5704 1566 1080 5705 432 270 5706 707 450