Selected accounts from the chart of accounts of Masu Company are shown below: 101 Cash 201 Accounts
Question:
Selected accounts from the chart of accounts of Masu Company are shown below:
101 Cash 201 Accounts Payable
112 Accounts Receivable 208 Output Tax
120 Inventory 401 Sales Revenue
125 Supplies 416 Sales Returns and Allowances
130 Prepaid Insurance 501 Cost of Goods Sold
137 Input Tax 615 Advertising Expense
The cost of all merchandise sold was 60% of sales price. During November, Masu Company completed the following transactions. VAT of 7% is applicable.
Nov 2 Purchased merchandise from Anza Company $14,000, term n/60.
4 Purchased supplies for $1,300 and issued check, no.126 for the same amount.
5 Sold merchandise to Luki Company for $1,800, term n/30, invoice no. 311.
6 Returned $800 of damaged goods purchased on account from Anza Company on Nov 2.
8 Purchased merchandise from Fiza Company $10,000, term n/30.
9 Made cash sales of merchandise totaling $3,500.
10 Granted allowance to Luki Company for the damaged merchandise $800.
12 Paid in full the amount owed to Anza Company, check no. 221.
13 Paid $2,000 for a one-year insurance policy, check no.213.
15 Received payment from Luki Company for invoice no. 311.
16 Sold merchandise to Yard Company for $20,000, term n/30, invoice no. 312.
20 Purchase merchandise for cash $4,000, check no. 222
23 Paid in full the amount owed to Fiza Company, check no. 231.
27 Received payment from Yard Company for invoice no.312.
29 Paid the Advertising bill of $7,000 for the current month, check no. 234.
30 Sold merchandise to Holt Company $22,000, term n/30, invoice no. 313.
Instruction: Journalize the transactions in the special journals and general journal.
Expert Answer:
General Journal Date Accounts Debit Credit Cashon account 02Nov Merchandise purchased Anza Co 14980 ... View the full answer
Accounting Principles
ISBN: 978-0470533475
9th Edition
Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso
