Assume Sparkling Springs Glass Company uses the perpetual inventory system. The general ledger of Sparkling Springs Glass Company includes the following selected accounts, along with their account numbers:

Sales and cash receipts transactions in July were as follows:
Jul. 2 Sold merchandise inventory on credit, terms n/30, to Intel, Inc., $1,500 (cost, $200).
3 Sold office supplies to an employee at cost, $80, receiving cash.
7 Cash sales for the week totaled $2,300 (cost, $1,500).
9 Sold merchandise inventory on account, terms n/30, to A. B. Miller, $7,700 (cost, $5,200).
10 Sold land that cost $10,000 for cash of the same amount.
11 Sold merchandise inventory on account, terms n/30, to Speedy Electric, $5,400 (cost, $3,350).
12 Received cash from Intel in full settlement of its account receivable from July 2.
14 Cash sales for the week were $2,600 (cost, $1,700).
15 Sold merchandise inventory on credit, terms n/30, to the partnership of William & Bill, $3,400 (cost, $2,400).
20 Sold merchandise inventory on account, terms n/30, to Speedy Electric, $500 (cost, $250).
21 Cash sales for the week were $980 (cost, $640).
22 Received $4,000 cash from A. B. Miller in partial settlement of his account receivable.
25 Received cash from William & Bill for its account receivable from July 15.
25 Sold merchandise inventory on account, terms n/30, to Oscar Co., $1,520 (cost, $1,000).
27 Collected $5,000 on a note receivable. There was no interest earned.
28 Cash sales for the week totaled $3,710 (cost, $2,450).
29 Sold merchandise inventory on account, terms n/30, to R. O. Bart, $200 (cost, $100).
31 Received $2,700 cash on account from A. B. Miller.
Requirements
1. Use the appropriate journal to record the preceding transactions in a sales journal (omit the Invoice No. column) and a cash receipts journal (omit the Sales Discounts Forfeited column).
2. Total each column of the sales journal and the cash receipts journal. Show that total debits equal total credits.
3. Show how postings would be made by writing the account numbers and check marks in the appropriate places in the journals.

Transcribed Image Text:

Number Account Number Account Cash Equipment Land Sales Revenue 11 18 Accounts Receivable Notes Receivable Merchandise Inventory Office Supplies 12 19 13 41 Cost of Goods Sold 15 51 16