Kay Zembrowski operates a retail variety store. The books include a cash payments journal and an accounts payable ledger. All cash payments (except petty cash) are entered in the cash payments journal. Selected account balances on May 1 are as follows:

General Ledger

Cash ......... $40,000

Accounts Payable ..... 20,000

Accounts Payable Ledger

Cortez Distributors .... $4,200

Indra & Velga ..... 6,800

Toy Corner ....... 4,600

Troutman Outlet .... 4,400

The following transactions are related to cash payments for the month of May:

May 1Issued Check No. 326 in payment of May rent (Rent Expense), $2,600.

4 Issued Check No. 327 to Cortez Distributors in payment of merchandise purchased on account, $4,200, less a 3% discount. Check was written for $4,074.

7 Issued Check No. 328 to Indra & Velga in partial payment of merchandise purchased on account, $6,200. A cash discount was not allowed.

11 Issued Check No. 329 to Toy Corner for merchandise purchased on account, $4,600, less a 1% discount. Check was written for $4,554.

15 Issued Check No. 330 to County Power and Light (Utilities Expense), $1,500.

19 Issued Check No. 331 to Builders Warehouse for a cash purchase of merchandise, $3,500.

25 Issued Check No. 332 to Troutman Outlet for merchandise purchased on account, $4,400, less a 2% discount. Check was written for $4,312.

30 Issued Check No. 333 to Rapid Transit Company for freight charges on merchandise purchased (Freight-In), $800.

31 Issued Check No. 334 to City Merchants for a cash purchase of merchandise, $2,350.

REQUIRED

1. Enter the transactions in a cash payments journal. Total, rule, and prove the cash payments journal.

2. Post from the cash payments journal to the general ledger and accounts payable ledger. Use general ledger account numbers as shown in the chapter.