Abby Gray opened Abby's Toy House. As her newly hired accountant, your tasks are to do the

Question:

Abby Gray opened Abby's Toy House. As her newly hired accountant, your tasks are to do the following:

1. Journalize the transactions for the month of December. Use the periodic method.

2. Record to subsidiary ledgers and post to the general ledger as appropriate.

3. Prepare a schedule of accounts receivable and a schedule of accounts payable.

The following is the partial chart of accounts for Abby's Toy House:

Abby Gray opened Abby's Toy House. As her newly hired

201X
Dec. 1 Abby invested $7,000 in the toy store.
1 Paid 3 months' rent in advance, check no. 1, $3,100.
1 Purchased merchandise from Morris Curtis Company on account, $4,400,
invoice no. 410, dated December 2; terms 5/10, n/30.
3 Sold merchandise to David Plouffe on account, $500, invoice no. 1; terms 5/10, n/30.
6 Sold merchandise to Robert Cooper on account, $400, invoice no. 2; terms 5/10, n/30.
8 Purchased merchandise from Morris Curtis Co. on account, $1,300, invoice no. 415, dated December 9; terms 5/10, n/30.
9 Sold merchandise to David Plouffe on account, $1,100, invoice no. 3; terms 5/10, n/30.
9 Paid cleaning service, check no. 2, $275.
10 Robert Cooper returned merchandise that cost $100 to Abby's Toy House.
Abby issued credit memorandum no. 1 to Robert Cooper for $100.
10 Purchased merchandise from Mildred Mann on account, $4,400, invoice
no. 311, dated December 11; terms 1/15, n/60.
12 Paid Morris Curtis Co., invoice no. 410, dated December 2, check no. 3.
13 Sold $1,800 of toy merchandise for cash.
13 Paid salaries, $1,100, check no. 4.
14 Returned merchandise to Mildred Mann in the amount of $800. Abby's Toy
House issued debit memorandum no. 1 to Mildred Mann.
15 Sold merchandise for $3,900 cash.
16 Received payment from Robert Cooper, invoice no. 2 (less returned merchandise), less discount.
16 David Plouffe paid invoice no. 1.
16 Sold toy merchandise to Alison Reach on account, $4,700, invoice no. 4; terms 5/10, n/30.
20 Purchased delivery truck on account from Sam Katz Garage, $2,500, invoice no. 111, dated December 21 (no discount).
22 Sold to David Plouffe merchandise on account, $1,200, invoice no. 5; terms 5/10, n/30.
23 Paid Mildred Mann balance owed, check no. 5.
24 Sold toy merchandise on account to Alison Reach, $600, invoice no. 6; terms 5/10, n/30.
25 Purchased toy merchandise, $1,100, check no. 6.
26 Purchased toy merchandise from Sanya Burger on account, $4,300, invoice no. 211, dated December 27; terms 5/10, n/30.
28 David Plouffe paid invoice no. 5, dated December 22.
28 Alison Reach paid invoice no. 6, dated December 24.
28 Abby invested an additional $4,000 in the business.
28 Purchased merchandise from Morris Curtis Co., $1,800, invoice no. 436, dated December 29; terms 5/10, n/30.
30 Paid Morris Curtis Co. invoice no. 436, check no. 7.
30 Sold merchandise to Bella Falco Company on account, $3,600, invoice no. 7; terms 5/10, n/30.