In: Accounting
Color Florists, a retail business, had the following cash receipts during January 20--. The sales tax is 5%.
Jan. | 1 | Received payment on account from Ray Boyd, $880. |
3 | Received payment on account from Clint Hassell, $271. | |
5 | Made cash sales for the week, $2,800, plus tax. Bank credit card sales for the week, $1,200, plus tax. Bank credit card fee is 3%. | |
8 | Received payment on account from Jan Sowada, $912. | |
11 | Ray Boyd returned merchandise for a credit, $40, plus tax. | |
12 | Made cash sales for the week, $3,100, plus tax. Bank credit card sales for the week, $1,900, plus tax. Bank credit card fee is 3%. | |
15 | Received payment on account from Robert Zehnle, $1,100. | |
18 | Robert Zehnle returned merchandise for a credit, $31, plus tax. | |
19 | Made cash sales for the week, $2,230, plus tax. | |
25 | Received payment on account from Dazai Manufacturing, $318. |
Beginning general ledger account balances were as follows:
Cash | $2,890.75 |
Accounts Receivable | 6,300.00 |
Beginning customer account balances were as follows:
R. Boyd | $1,400 |
Dazai Manufacturing | 318 |
C. Hassell | 815 |
J. Sowada | 1,481 |
R. Zehnle | 2,286 |
Required: | |
1. | Record the transactions in the cash receipts journal. Total and verify the columns where appropriate at the end of the month. After each entry, post to the appropriate selected accounts. Use the general journal to record sales returns and allowances. |
2. | Post from the journals to the general ledger and accounts receivable ledger accounts. |
Color Florist | ||||||||
CASH RECEIPT JOURNAL | ||||||||
Date | Account Credited | PR | Explanation | Cash Dr | Account Receivable Cr | Sales Cr | Sales Tax Payable | Cr card fees |
1-Jan | Ray Boyd | Cash receipt on account | 880.00 | 880.00 | ||||
3-Jan | Clint Hassell, | Cash receipt on account | 271.00 | 271.00 | ||||
5-Jan | Sales | Cash Sales | 2,940.00 | 2,800.00 | 140.00 | |||
5-Jan | Sales | Credit Card Sales | 1,222.20 | 1,200.00 | 60.00 | 37.80 | ||
8-Jan | Jan Sowada | Cash receipt on account | 912.00 | 912.00 | ||||
12-Jan | Sales | Cash Sales | 3,255.00 | 3,100.00 | 155.00 | |||
12-Jan | Sales | Credit Card Sales | 1,935.15 | 1,900.00 | 95.00 | 59.85 | ||
15-Jan | Robert Zehnle | Cash receipt on account | 1,100.00 | 1,100.00 | ||||
19-Jan | Sales | Cash Sales | 2,341.50 | 2,230.00 | 111.50 | |||
25-Jan | Dazai Manufacturing | Cash receipt on account | 318.00 | 318.00 | ||||
Total | 15,174.85 | 3,481.00 | 11,230.00 | 561.50 | 97.65 |
Color Florist | |||
GENERAL JOURNAL | |||
Date | Account | Debit | Credit |
11-Jan | Sales | 40.00 | |
Sales Tax Payable | 2.00 | ||
Ray Boyd | 42.00 | ||
(To record Sales Return) | |||
18-Jan | Sales | 31.00 | |
Sales Tax Payable | 1.55 | ||
Robert Zehnle | 32.55 | ||
(To record Sales Return) |
Cash Account | |||||
Date | Description | Debit | Date | Description | Credit |
1-Jan | Opening Balance | 2,890.75 | |||
31-Jan | Cash Journal | 15174.85 | |||
Total | 18,065.60 | Total | 0 | ||
Sales Account | |||||
Date | Description | Debit | Date | Description | Credit |
11-Jan | Ray Boyd | 40.00 | 31-Jan | Cash Journal | 11230 |
18-Jan | Robert Zehnle | 31 | |||
Total | 71.00 | Total | 11230 | ||
Sales Tax Payable | |||||
Date | Description | Debit | Date | Description | Credit |
11-Jan | Sales - Ray Boyd | 2.00 | 31-Jan | Cash Journal | 561.5 |
18-Jan | Sales | 2.00 | |||
Total | 4.00 | Total | 561.5 | ||
Credit Card Fees | |||||
Date | Description | Debit | Date | Description | Credit |
31-Jan | Cash Journal | 97.65 | |||
Total | 97.65 | Total | 0 | ||
Account Receivable | |||||
Date | Description | Debit | Date | Description | Credit |
1-Jan | Opening Balance | 6,300.00 | 31-Jan | Cash Journal | 3,481.00 |
11-Jan | Sales Return | 42.00 | |||
18-Jan | Sales Return | 32.55 | |||
Total | 6,300.00 | Total | 3,555.55 | ||
R. Boyd | |||||
Date | Description | Debit | Date | Description | Credit |
1-Jan | Opening Balance | 1,400.00 | 1-Jan | Cash Journal | 880.00 |
11-Jan | Sales Return | 42.00 | |||
Total | 1,400.00 | Total | 922.00 | ||
Dazai Manufacturing | |||||
Date | Description | Debit | Date | Description | Credit |
1-Jan | Opening Balance | 318.00 | 25-Jan | Cash Journal | 318.00 |
Total | 318.00 | Total | 318.00 | ||
C. Hassell | |||||
Date | Description | Debit | Date | Description | Credit |
1-Jan | Opening Balance | 815.00 | 3-Jan | Cash Journal | 271.00 |
Total | 815.00 | Total | 271.00 | ||
J. Sowada | |||||
Date | Description | Debit | Date | Description | Credit |
1-Jan | Opening Balance | 1,481.00 | 8-Jan | Cash Journal | 912.00 |
Total | 1,481.00 | Total | 912.00 | ||
R. Zehnle | |||||
Date | Description | Debit | Date | Description | Credit |
1-Jan | Opening Balance | 2,286.00 | 15-Jan | Cash Journal | 1,100.00 |
18-Jan | Sales Return | 32.55 | |||
Total | 2,286.00 | Total | 1132.55 |