R. Santiago Co. uses special journals and a general journal. The following transactions occurred during May 2017.

May 1 R. Santiago invested $40,000 cash in the business.

2 Sold merchandise to Lawrie Co. for $6,300 cash. The cost of the merchandise sold was $4,200.

3 Purchased merchandise for $7,700 from J. Moskos using check no. 101.

14 Paid salary to H. Rivera $700 by issuing check no. 102.

16 Sold merchandise on account to K. Stanton for $900, terms n/30. The cost of the merchandise sold was $630.

22 A check of $9,000 is received from M. Mangini in full for invoice 101; no discount given.

Instructions

(a) Prepare a multiple-column cash receipts journal (see Illustration 7-9) and a multiple-column cash payments journal (see Illustration 7-16). (Use page 1 for each journal.)

(b) Record the transaction(s) for May that should be journalized in the cash receipts journal and cash payments journal.