Question

On September 1, the balance of the Accounts Receivable control account in the general ledger of Montgomery Company was $10,960. The customers’ subsidiary ledger contained account balances as follows: Hurley $1,440, Andino $2,640, Fowler $2,060, and Sogard $4,820. At the end of September, the various journals contained the following information.

Sales journal:		Sales to Sogard $800, to Hurley $1,260, to Giambi $1,330, and to Fowler $1,600.
Cash receipts journal:		Cash received from Fowler $1,310, from Sogard $3,300, from Giambi $380, from Andino $1,800, and from Hurley $1,240.
General journal:		An allowance is granted to Sogard $220.

Set up control and subsidiary accounts and enter the beginning balances.

Accounts Receivable
Date	Explanation	Ref.	Debit	Credit	Balance
Sept. 1	Balance	√
Accounts Receivable Subsidiary Ledger
Fowler
Date	Explanation	Ref.	Debit	Credit	Balance
Sept. 1	Balance	√
Sogard
Date	Explanation	Ref.	Debit	Credit	Balance
Sept. 1	Balance	√
Giambi
Date	Explanation	Ref.	Debit	Credit	Balance
Sept. 1	Balance	√
Andino
Date	Explanation	Ref.	Debit	Credit	Balance
Sept. 1	Balance	√
Hurley
Date	Explanation	Ref.	Debit	Credit	Balance
Sept. 1	Balance	√

Answer 1

Fowler
Date	Explanation	Ref.	Debit	Credit	Balance
Sep-01	Balance				2,060.00
	Sales Fowler		1,600.00		3,660.00
	Cash Received from Fowler			1,310.00	2,350.00
Sogard
Date	Explanation	Ref.	Debit	Credit	Balance
Sep-01	Balance				4,820.00
	Sales sogard		800.00		5,620.00
	Cash Received from Sogard			3,300.00	2,320.00
	Allowance granted sogard			220.00	2,100.00
Giambi
Date	Explanation	Ref.	Debit	Credit	Balance
	Sales Giambi		1,330.00		1,370.00
	Cash Received from Giambi			380.00	990.00
Andino
Date	Explanation	Ref.	Debit	Credit	Balance
Sep-01	Balance				2,640.00
	Cash Received from Andino			1,800.00	840.00
Hurley
Date	Explanation	Ref.	Debit	Credit	Balance
Sep-01	Balance				1,440.00
	Sales Hurley		1,260.00		2,700.00
	Cash Received from Hurley			1,240.00	1,460.00

Schedule of Account Receiable
Fowler	2,350.00
Sogard	2,100.00
Giambi	990.00
Andino	840.00
Hurley	1,460.00
Total	7,740.00