Question

Enter the beginning cash and capital balances and post the transactions.

In this format leave REF blank need date explanation and credit or debit and balances.

Supplies
Date	Explanation	Ref.	Debit	Credit	Balance
		J1

For Cash, Accounts Receivable, Inventory, Supplies, Accounts Payable, Owners Capital, Sales Revenue, Sales Returns & Allowances, Sales Discounts, and Cost of Goods Sold.

Using this info:

Cullumber Hardware Store completed the following merchandising transactions in the month of May. At the beginning of May, the ledger of Cullumber showed Cash of $4,500 and Owner’s Capital of $4,500. May 1 Purchased merchandise on account from Braun's Wholesale Supply $4,000, terms 2/10, n/30. 2 Sold merchandise on account $2,300, terms 1/10, n/30. The cost of the merchandise sold was $1,600. 5 Received credit from Braun's Wholesale Supply for merchandise returned $400. 9 Received collections in full, less discounts, from customers billed on sales of $2,300 on May 2. 10 Paid Braun's Wholesale Supply in full, less discount. 11 Purchased supplies for cash $300. 12 Purchased merchandise for cash $1,400. 15 Received refund for poor quality merchandise from supplier on cash purchase $200. 17 Purchased merchandise from Valley Distributors $1,300, FOB shipping point, terms 2/10, n/30. 19 Paid freight on May 17 purchase $150. 24 Sold merchandise for cash $3,100. The merchandise sold had a cost of $2,200. 25 Purchased merchandise on account from Lumley, Inc. $550, FOB destination, terms 2/10, n/30. 27 Paid Valley Distributors in full, less discount. 29 Made refunds to cash customers for defective merchandise $80. The returned merchandise had a fair value of $20. 31 Sold merchandise on account $1,000, terms n/30. The cost of the merchandise sold was $500.

Answer 1

Answer
Date	Account titles and Explanations			Debit	Credit
01-May	Merchandise inventory			$      4,000
	Accounts payable				$      4,000
02-May	Accounts receivable			$      2,300
	sales				$      2,300
	cost of goods sold			$      1,600
	Merchandise inventory				$      1,600
05-May	Accounts payable			$         400
	Merchandise inventory				$         400
09-May	Cash	(2300*99%)		$      2,277
	Sales discount			$           23
	Accounts receivable				$      2,300
10-May	Accounts payable	(4000-400)		$      3,600
	Merchandise inventory		(3600*2%)		$           72
	Cash				$      3,528
11-May	Supplies			$         300
	cash				$         300
12-May	Merchandise inventory			$      1,400
	cash				$      1,400
15-May	Cash			$         200
	Merchandise inventory				$         200
17-May	Merchandise inventory			$      1,300
	Accounts payable				$      1,300
19-May	Merchandise inventory			$         150
	cash				$         150
24-May	cash			$      3,100
	sales				$      3,100
	cost of goods sold			$      2,200
	Merchandise inventory				$      2,200
25-May	Merchandise inventory			$         550
	Accounts payable				$         550
27-May	Accounts payable			$      1,300
	Merchandise inventory				$           26
	cash	(1300*98%)			$      1,274
29-May	Sales return and allowance			$           80
	Cash				$           80
	merchandise inventory			$           20
	cost of goods sold				$           20
31-May	Accounts receivable			$      1,000
	sales				$      1,000
	cost of goods sold			$         500
	Merchandise inventory				$         500