Special journals, subsidiary ledgers, schedule of accounts receivable LO5 LO6 LO7...

Special journals, subsidiary ledgers, schedule of accounts receivable LO5 LO6 LO7

Required

1. Prepare a sales journal like that in Exhibit 11.6 and a cash receipts journal like that in Exhibit 11.10.

Number both journals as page 3. Then review the transactions of Acorn Industries and enter those

transactions that should be journalized in the sales journal and those that should be journalized in

the cash receipts journal. Ignore any transactions that should be journalized in a purchases journal,

a cash disbursements journal, or a general journal.

2. Open the following general ledger accounts: Cash, Accounts Receivable, Inventory, Long-Term Notes

Payable, Sales, and Sales Discounts. Enter the June 30 balances for Cash ($100,000), Inventory

($200,000), and Long-Term Notes Payable ($300,000). Also open accounts receivable subsidiary

ledger accounts for Kim Nettle, Ashton Moore, and Ruth Blake.

3. Verify that amounts that should be posted as individual amounts from the journals have been posted.

(Such items are immediately posted.) Foot and crossfoot the journals and make the month-end postings.

4. Prepare a trial balance of the general ledger and prove the accuracy of the subsidiary ledger by preparing

a schedule of accounts receivable.

Check Trial balance totals, $588,264