In: Accounting
Jan. | 19 | Sold merchandise on account to Dr. Kyle Norby, $17,910. The cost of the goods sold was $9,920. |
June | 2 | Received $4,670 from Dr. Kyle Norby and wrote off the remainder owed on the sale of January 19 as uncollectible. |
Oct. | 23 | Reinstated the account of Dr. Kyle Norby that had been written off on June 2 and received $13,240 cash in full payment. |
Journalize the above transactions in the accounts of Canyon River Medical Co., a medical equipment company that uses the direct write-off method of accounting for uncollectible receivables. Refer to the Chart of Accounts for exact wording of account titles.
CHART OF ACCOUNTSCanyon River Medical Co.General Ledger
ASSETS | |
110 | Cash |
111 | Petty Cash |
121 | Accounts Receivable-Dr. Kyle Norby |
131 | Interest Receivable |
132 | Notes Receivable |
141 | Inventory |
145 | Office Supplies |
146 | Store Supplies |
151 | Prepaid Insurance |
181 | Land |
191 | Store Equipment |
192 | Accumulated Depreciation-Store Equipment |
193 | Office Equipment |
194 | Accumulated Depreciation-Office Equipment |
LIABILITIES | |
210 | Accounts Payable |
211 | Salaries Payable |
213 | Sales Tax Payable |
214 | Interest Payable |
215 | Notes Payable |
EQUITY | |
310 | Common Stock |
311 | Retained Earnings |
312 | Dividends |
REVENUE | |
410 | Sales |
610 | Interest Revenue |
EXPENSES | |
510 | Cost of Goods Sold |
520 | Sales Salaries Expense |
521 | Advertising Expense |
522 | Depreciation Expense-Store Equipment |
523 | Delivery Expense |
524 | Repairs Expense |
529 | Selling Expenses |
530 | Office Salaries Expense |
531 | Rent Expense |
532 | Depreciation Expense-Office Equipment |
533 | Insurance Expense |
534 | Office Supplies Expense |
535 | Store Supplies Expense |
536 | Credit Card Expense |
537 | Cash Short and Over |
538 | Bad Debt Expense |
539 | Miscellaneous Expense |
710 | Interest Expense |
Journalize the transactions in the accounts of Canyon River Medical Co., a medical equipment company that uses the direct write-off method of accounting for uncollectible receivables. Refer to the Chart of Accounts for exact wording of account titles.
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Date | General Journal | Debit (in $ ) | Credit (in $ ) |
Jan-19 | Accounts Receivable - Dr. Kyle Norby | $ 17,910 | |
Sales | $ 17,910 | ||
(To record the merchandise sold ) | |||
Jan-19 | Cost of Merchandise Sold | $ 9,920 | |
Merchandise Inventory | $ 9,920 | ||
(To record the Cost of merchandise sold) | |||
Jun-02 | Cash | $ 4,670 | |
Bad Debt Expense ( $ 17,910 (-) $ 4,670 |
$ 13,240 | ||
Accounts Receivable - Dr. Kyle Norby | $ 17,910 | ||
(To record Uncollectible accounts) | |||
Oct. 23 | Accounts Receivable - Dr. Kyle Norby | $ 13,240 | |
Bad Debt Expense | $ 13,240 | ||
(To record the write -off for Uncollectible accounts) | |||
Oct. 23 | Cash | $ 13,240 | |
Accounts Receivable-Dr. Kyle Norby | $ 13,240 | ||
(To record the Cash payment ) |