Problem $7\mathrm{.}21$

Accounting for transactions with several journals GST version

Elliott started business on $1$ July $2025.$ The accounting system includes a sales journal, a purchases journal, a cash receipts journal, a cash payments journal and a general journal. The chart of accounts shows the following titles:

$100$ Cash at Bank $410$ Sales Returns and Allowances

$110$ Accounts Receivable Control $420$ Discount Received

$112$ GST Receivable $500$ Purchases

$115$ Prepaid Insurance $503$ Purchases Returns

$150$ Office Equipment $510$ Discount Allowed

$201$ Accounts Payable Control $550$ Rent Expense

$205$ GST Payable $560$ Insurance Expense

$210$ Loan Payable $570$ Sundry Expenses

$300$ A$.$ Elliott, Capital

$400$ Sales

During June, the transactions were as follows $($include GST where relevant$).$

June $1$ A$.$ Elliott deposited $$50000$ capital in the business bank account.

$3$ Paid rent for June, $$8800,$ by interbank transfer.

$4$ Borrowed $$30000$ from the Regional Australia Bank.

$5$ Purchased inventory on credit from Hendry Ltd$,$ $$11300,$ invoice $743,$ terms $2/10,$ n$/30.$

$6$ Purchased inventory on credit from Kelly Ltd$,$ $$4400,$ invoice $312,$ terms $2/10,$ n$/30.$

$8$ Purchased office equipment, $$2520,$ using the business$$s debit card.

Sold inventory on credit to Leschev Ltd$,$ $$4620,$ terms $2/10,$ n$/30,$ invoice $532.$

$10$ Paid for inventory purchased from Hendry Ltd$,$ invoice $743,$ using an interbank transfer.

$12$ Received an adjustment $($credit$)$ note from Kelly Ltd for inventory returned,

$$250.$

$12$ Processed an electronic funds transfer to Kelly Ltd for balance owing on invoice $312.$

$13$ Sold inventory for cash, $$1575.$

$16$ Had an automatic direct debit from the bank account for a $12-$month insurance policy, $$3150.$ The effective date of the policy was $1$ June.

$17$ Purchased inventory on credit from L$.$ Mihai, $$6720,$ invoice $763,$ terms n$/30.$

$20$ Purchased inventory on credit from F$.$ Nunn, $$3690,$ invoice $506,$ terms $2/10,$ n$/30.$

$23$ Sold inventory on credit to B$.$ Bear, $$3150,$ invoice $533,$ terms $2/10,$ n$/30.$

$25$ Received payment from Leschev Ltd in full settlement of invoice $532.$

$28$ Sold inventory on credit to Nottage Ltd$,$ invoice $534,$ $$5250,$ terms $2/10,$ n$/30.$ Paid F$.$ Nunn in full for goods purchased on $20$ June, electronic funds transfer.

$30$ Processed an electronic funds transfer for $$320,$ for sundry expenses.

Issued an adjustment $($credit$)$ note to Nottage Ltd for defective goods sold on $28$ June, $$125.$

$30$ Received payment from B$.$ Bear in settlement of invoice $533.$

Required:

Record the transactions in the appropriate journals. Indicate how the postings would be made from the journals by entering the relevant posting references.