Grassley Company completes these transactions during August of the current year (terms for all its credit...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Grassley Company completes these transactions during August of the current year (terms for all its credit sales are 2/10, n/30). Aug. 1 Purchased $7,058 of office equipment on credit from Brun Supply, invoice dated August 1, terms n/10 EOM. 2 Borrowed $96,500 cash from Wisconsin Bank by signing a long-term note payable. 4 Purchased $33,500 of merchandise from BLR Industries, invoice dated August 3, terms 2/10, n/30. 5 Purchased $1,040 of store supplies on credit from Grebe Company, invoice dated August 5, terms n/10 EOM. 8 Sold merchandise on credit to C/d Rounder, Invoice No. 439, for $6,550 (cost is $3,910). 10 Sold merchandise on credit to Carlos Mantel, Invoice No. 440, for $13,500 (cost is $8,500). 11 Purchased $2,557 of merchandise from Lo Company, invoice dated August 10, terms 2/10, n/30. 12 Sent BLR Industries Check No. 633 in payment of its August 3 invoice less the discount. 15 Issued Check No. 634, payable to Payroll, in payment of sales salaries expense for the first half of the month, $6,585. Cashed the check and paid the employees. 15 Cash sales for the first half of the month are $18,170 (cost is $9,000). (Cash sales are recorded daily but are recorded only twice in this problem to reduce repetitive entries.) 15 Sold merchandise on credit to Tori Tripp, Invoice No. 441, for $5,250 (cost is $2,450). 16 Purchased $459 of office supplies on credit from Grebe Company, invoice dated August 16, terms n/10 EOM. 17 Received a $557 credit memorandum from Lo Company for the return of unsatisfactory merchandise purchased on August 11. 18 Received payment from C/d Rounder for the August 8 sale less the discount. 19 Received payment from Carlos Mantel for the August 10 sale less the discount. 19 Issued Check No. 635 to Lo Company in payment of its invoice of August 10 less the return and the discount. 22 Sold merchandise on credit to Carlos Mantel, Invoice No. 442, for $3,695 (cost is $2,060). 24 Soid merchandise on credit to Tori Tripp, Invoice No. 443, for $4,280 (cost is $2,130). 25 Received payment from Tori Tripp for the sale of August 15 less the discount. 26 Received a $922 credit memorandum from Brun Supply for the return of office equipment purchased on August 1. 30 Issued Check No. 636, payable to Payroll, in payment of sales salaries expense for the last half of the month, $6,585. Cashed the check and paid the employees. 30 Cash sales for the last half of the month are $16,703 (cost is $10,200). 30 Verify that amounts impacting customer and creditor accounts were posted and that any amounts that should have been posted as individual amounts to the general ledger accounts were posted. Foot and cross foot the journals and make the month-end postings. Required 1. Enter these transactions in a sales journal, a purchases journal, a cash receipts journal, a cash disbursements journal, and a general journal. 2. Open the following accounts payable subsidiary ledger accounts: Grebe Company, BLR Industries, Brun Supply, and Lo Company. Grassley Company completes these transactions during August of the current year (terms for all its credit sales are 2/10, n/30). Aug. 1 Purchased $7,058 of office equipment on credit from Brun Supply, invoice dated August 1, terms n/10 EOM. 2 Borrowed $96,500 cash from Wisconsin Bank by signing a long-term note payable. 4 Purchased $33,500 of merchandise from BLR Industries, invoice dated August 3, terms 2/10, n/30. 5 Purchased $1,040 of store supplies on credit from Grebe Company, invoice dated August 5, terms n/10 EOM. 8 Sold merchandise on credit to C/d Rounder, Invoice No. 439, for $6,550 (cost is $3,910). 10 Sold merchandise on credit to Carlos Mantel, Invoice No. 440, for $13,500 (cost is $8,500). 11 Purchased $2,557 of merchandise from Lo Company, invoice dated August 10, terms 2/10, n/30. 12 Sent BLR Industries Check No. 633 in payment of its August 3 invoice less the discount. 15 Issued Check No. 634, payable to Payroll, in payment of sales salaries expense for the first half of the month, $6,585. Cashed the check and paid the employees. 15 Cash sales for the first half of the month are $18,170 (cost is $9,000). (Cash sales are recorded daily but are recorded only twice in this problem to reduce repetitive entries.) 15 Sold merchandise on credit to Tori Tripp, Invoice No. 441, for $5,250 (cost is $2,450). 16 Purchased $459 of office supplies on credit from Grebe Company, invoice dated August 16, terms n/10 EOM. 17 Received a $557 credit memorandum from Lo Company for the return of unsatisfactory merchandise purchased on August 11. 18 Received payment from C/d Rounder for the August 8 sale less the discount. 19 Received payment from Carlos Mantel for the August 10 sale less the discount. 19 Issued Check No. 635 to Lo Company in payment of its invoice of August 10 less the return and the discount. 22 Sold merchandise on credit to Carlos Mantel, Invoice No. 442, for $3,695 (cost is $2,060). 24 Soid merchandise on credit to Tori Tripp, Invoice No. 443, for $4,280 (cost is $2,130). 25 Received payment from Tori Tripp for the sale of August 15 less the discount. 26 Received a $922 credit memorandum from Brun Supply for the return of office equipment purchased on August 1. 30 Issued Check No. 636, payable to Payroll, in payment of sales salaries expense for the last half of the month, $6,585. Cashed the check and paid the employees. 30 Cash sales for the last half of the month are $16,703 (cost is $10,200). 30 Verify that amounts impacting customer and creditor accounts were posted and that any amounts that should have been posted as individual amounts to the general ledger accounts were posted. Foot and cross foot the journals and make the month-end postings. Required 1. Enter these transactions in a sales journal, a purchases journal, a cash receipts journal, a cash disbursements journal, and a general journal. 2. Open the following accounts payable subsidiary ledger accounts: Grebe Company, BLR Industries, Brun Supply, and Lo Company.
Expert Answer:
Related Book For
Fundamental accounting principle
ISBN: 978-0078025587
21st edition
Authors: John J. Wild, Ken W. Shaw, Barbara Chiappetta
Posted Date:
Students also viewed these accounting questions
-
Grassley Company completes these transactions during November of the current year (terms for all its credit sales are 2/10, n/30). Nov. 1 Purchased $ 5,058 of office equipment on credit from Brun...
-
On October 1 of the current year, C's employer provided him with the use of a car. The car was leased for a monthly cost of $900 (including tax). The employer will also pay for the operating expenses...
-
The following selected transactions were completed during August of the current year: 1. Billed customers for fees earned, $13,750. 2. Purchased supplies on account, $1,325. 3. Received cash from...
-
Design a dam structure (your choice of shape and size) that will collect water and will be used for water supply, power generation, and flood control. Consider that the maximum water surface level...
-
What do you think of a diet program that allows for generous amounts of bread and rice provided that no butter or margarine is added?
-
The following charts show the growth of real GDP per capita in three pairs of geographically adjacent countries: North and South Korea, Argentina and Chile, Zimbabwe and Botswana (using data from the...
-
Of the cameras produced by a company, 8% have a flash problem, 12% have a focus malfunction, and 0.9% have both a flash issue and a focus malfunction. Find the probability that a randomly selected...
-
The following report appeared in the New York Times on August 7, 1989 (Dollars Strength a Surprise, p. D1): But now the sentiment is that the economy is heading for a soft landing, with the economy...
-
Korda International Inc. recently issued new securities (common shares and bonds) to finance a new project with a cost $16 million. The equity issued had a flotation cost of 8%, while the debt issued...
-
1) Isotherm study of groundwater soil sample was conducted at 8 C. Therefore, 20 g of soil was spiked with benzene and toluene in a 450 mL jar and then 405 mL organic free water added to the spiked...
-
If I want to gain constant profit or increase in my investment every year till my retirement date what should I do?
-
Using real-world examples, evaluate the effectiveness of minimum wages in achieving a more equitable distribution of income.
-
Contrast emission fees (fee per unit emissions) and marketable permits (permit to emit one unit in perpetuity) from the point of view of commitment in a society with well-defined private property...
-
Using real-world examples, evaluate the consequences of a country adopting a more progressive tax structure.
-
The local dry cleaner is concerned about the risks from its use of chemicals, which evaporate into the air and occasionally are spilled onto the ground. The cleaner is concerned about liability for...
-
If a potential victim can take precautions to avoid an accident (such as looking both ways before crossing a street), which liability system yields more efficient levels of precaution, strict...
-
2. Suppose you are the money manager of a $4 million investment fund. The fund consists of 4 stocks with the following investments and betas: Stock A B C D Investment Beta 400,000 1.50 600,000 -0.50...
-
What kind of rays are X-rays?
-
a. Tao Co. receives $10,000 cash in advance for 4 months of legal services on October 1, 2013, and records it by debiting Cash and crediting Unearned Revenue both for $10,000. It is now December 31,...
-
Refer to the chapters opening feature about Shazi Visram and her company, Happy Family. Her organic food company deals with numerous suppliers and customers. Required 1. Identify the special journals...
-
1. Harris Company has shipped $ 20,000 of goods to Harlow Co., and Harlow Co. has arranged to sell the goods for Harris. Identify the consignor and the consignee. Which company should include any...
-
Financial items for George Karatsis IT Services on 31 May 2024 are presented below in alphabetical order. Required (a) Prepare a statement of financial position similar to the one in figure 2.2. (b)...
-
Rebecca Tallance operates a rent a dress business from her home. She keeps her accounting records for business activities completely separate from her records for personal activities. At 30 June...
-
During the year ended 30 June 2024, Skilled Services, a provider of temporary secretary personnel, had collected receipts from clients for a total value of \($250000.\) Wages of \($136000\) had been...
Study smarter with the SolutionInn App