Sample ProblemSample Problem

Chapter 7Chapter 7

Recording credit sales and posting from the sales journal.Recording credit sales and posting from the sales journal.Discount Appliance Center is a retail store that sells household appliances. The firm’s credit sales for Discount Appliance Center is a retail store that sells household appliances. The firm’s credit sales for June are listed below, along with the general ledger accounts used to record these sales. The balance June are listed below, along with the general ledger accounts used to record these sales. The balance

shown for Accounts Receivable is for the beginning of the month.shown for Accounts Receivable is for the beginning of the month.InstructionsInstructions

1.1. Open the general ledger accounts and enter the balance of Open the general ledger accounts and enter the balance of Accounts ReceivableAccounts Receivable for June 1. for June 1.

2.2. Record the transactions in a sales journal like the one shown in Record the transactions in a sales journal like the one shown in Figure 7.4Figure 7.4. Use 8 as the journal . Use 8 as the journal page number. page number.

3.3. Total, prove, and rule the sales journal as of June 30. Total, prove, and rule the sales journal as of June 30.

4.4. Post the column totals from the sales journal to the proper general ledger accounts.Post the column totals from the sales journal to the proper general ledger accounts.

General Ledger AccountsGeneral Ledger Accounts

Analyze:Analyze: What percentage of credit sales were for entertainment items? What percentage of credit sales were for entertainment items?

Sales Journal Page 8Sales Journal Page 8

DATESALES

SLIP NO.

CUSTOMER'S

ACCOUNT DEBITED

POST. REF.ACCOUNTS RECEIVABL

E DEBIT

SALES TAX PAYABLE

CREDIT

SALES CREDIT

1-Jun 201 B. Merino 810.00 60.00 750.00 6-Jun 202 D. Reed 1,134.00 84.00 1,050.00

11-Jun 203 B. Davis 2,808.00 208.00 2,600.00 17-Jun 204 B. Wilson 972.00 72.00 900.00 23-Jun 205 D. Lazo 540.00 40.00 500.00 27-Jun 206 C. West 1,296.00 96.00 1,200.00 29-Jun 207 R. Eddie 1,620.00 120.00 1,500.00 30-Jun 208 B. Nelson 648.00 48.00 600.00 Totals 9,828.00 728.00 9,100.00

(111) (231) (401)

General LedgerGeneral Ledger

ACCOUNT Accounts Receiv.POST REF. Debit Credit

1-Jun Balance 72800.0030-Jun S8 9,828.00 82,628.00

ACCOUNT Sales tax payable

POST REF. Debit Credit

30-Jun S8 728.00 728.00

ACCOUNT SalesPOST REF. Debit Credit

30-Jun S8 9100.00 9100.00

ACCOUNT NO.

DATEDESCRIPTI

ONDEBIT CREDIT

BALANCE

ACCOUNT NO.

DATEDESCRIPTI

ONDEBIT CREDIT

BALANCE

GENERAL LEDGER

ACCOUNT NO.

DATEDESCRIPTI

ONDEBIT CREDIT

BALANCE