Question

Please complete the journal entries and put them into an unadjusted trail balance - I'll post the beginning of the month balances at the bottom.

May 1 - Issued Check No. 5200 to L&J Management Co. in payment of the May rent, $5,000.  (Use two lines to record the transaction.  Charge 80% of the rent to Rent Expense – Selling Space and the balance to Rent Expense – Office Space.)

May 2 – Sold merchandise on credit to Yellow Rock Company, Invoice No. 9501, for $4,500 (cost is $2,000)

May 3 - Issued a $150 credit memorandum to Yellow Rock Company for defective (worthless) merchandise sold on May 2 and returned for credit.  

May 4 – Purchased the following on credit from Jerry’s Curling Supply Co.  Invoice dated May 4, terms n/10 EOM. Merchandise = 27027.00, Store Supplies = 754, Office Supplies = 38.00

May 5 – Received payment from Yellow Rock Company for the May 2 sale less the May 3^rdreturn and discount.

May 8 – Issued Check No. 5201 to Jerry’s Curling Supply Company for merchandise purchased on May 4^th.

May 9 – Sold store supplies to the merchant next door at their cost of $220 cash.  (Hint – what are we selling to the next door neighbor, it is not Merchandise Inventory and does not have a cost associated with it)

May 10 – Purchased $2,047 of office equipment on credit from Jerry’s Curling Supply Co., invoice dated May 10, terms n/10 EOM.

May 11 – Purchased $6,200 of merchandise from Red Rock, Inc., invoice dated May 10, terms 2/10, n/30.

May 12 – Received an $97 credit memorandum from Jerry’s Curling Supply for the return of defective office equipment received on May 10.

May 15 – Issued Check No. 5202, payable to Payroll, in payment of sales salaries, $3,230, and office salaries, $1,510.  Cashed the check and paid the employees.

May 15 – Cash sales for the first half of the month are $31,280 (cost is $13,200).  (Cash sales are recorded daily but are recorded in a lump sum format through two entries May 15 and May 31)

May 16 – Sold merchandise on credit to House Curling Company, Invoice No. 9502, for $3,990 (cost is $1,890)

May 17 – Purchased $23,650 of merchandise from Olympics Gold, invoice dated May 17, terms 2/10, n/60.

May 19 – Issued Check No. 5203 to Red Rock, Inc. in payment of its May 11 invoice less the discount.

May 22 – Sold merchandise to Sweep Services, Invoice No. 9503, for $8,650 (cost is $4,990), terms 2/10, n/60

May 23 – Issued Check No. 5204 to Olympics Gold in payment of its May 17 invoice less the discount.

May 24 – Purchased the following on credit from Jerry’s Curling Supply Company  Invoice dated May 24, terms n/10 EOM. Merchandise = 8102.00, Store Supplies = 630.00, Office Supplies = 280.00

May 25 – Purchased $3,080 of merchandise from Burned Stone Curling, invoice dated May 25, terms 2/10, n/30.

May 26 – Sold merchandise on credit to Draw Weight, Invoice No. 9504, for $21,315 (cost is $12,230).

May 26 – Issued Check No. 5205 to Pebble Power in payment of the May electric bill, $983.

May 29 – The owner of Curling Rocks, Skip Slider, used Check No. 5206 to withdraw $4,800 cash from the business for personal use.

May 30 – Received payment from Sweep Services for the May 22 sale less the discount.

May 30 – Issued Check No. 5207, payable to Payroll, in payment of sales salaries, $3,230, and office salaries, $1,510.  Cashed the check and paid the employees.

​Beginning of the Month Balances -

​Cash - Debit of $88,900

Merchandise Inventory - Debit of $163,284

Office Supplies - Debit of $2,430

Store Supplies - Debit of 3,158

Prepaid Insurance - Debit of 6,427

Office Equipment - Debit of 58,752

Accumulated Depreciation - Office equipment - Credit of 19,898

Store Equipment - Debit of $134,960

Accumulated Depreciation - Store Equipment - Credit of 27,420

Skip Slider, Capital - Credit of $410,593

If not listed beginning balances are 0

Answer 1

Journal

Date	Particular	L.F	Amount(Dr.)	Amount(Cr.)
May 4	Store Supplies a/c Dr.		754
	Office Supplies a/c Dr.		38
	To Jerry's Curling Supply Co. a/c			792
	(for the purchase of supplies on credit)
May 10	Office Equipment a/c Dr.		2047
	To Jerry's Curling Supply Co. a/c			2047
	(For the Purchase of office equipment on credit)
May 24	Store Supplies a/c Dr.		630
	Office Supplies a/c Dr.		280
	To Jerry's Curling Supply Co. a/c			910
	Total		3749	3749

Purchase Book

Date	Invoice No	Name of Supplier	L.F	Details	Amount($)
May 4		Jerry Curling Supply Co.			27027
May 11		Red Rock,inc			6200
May 17		Olympics Gold			23650
May 24		Jerry Curling Supply Co.			8102
May 25		Burned Stone curling			3080
		By Purchase a/c			68059

Purchase return Book

Date	Debit Note No	Name of Supplier	L.F	Details	Amount($)
May 12		Jerry Curling Supply Co.			97
		To Purchase Return a/c			97

Sales Book

Date	Invoice No	Name of Customer	L.F	Detail	Amount
2 May	9501	Yellow Rock Co.			4500
May 16	9502	House Curling co.			3990
May 22	9503	Sweep services			8650
MAy 26	9504	Draw weight			21315
		To Sales a/c			38455

Sales return book

Date	Credit note no	Name of Customer	L.F	Details	Amount
May 3		Yellow Rock Co.			150
		By Sales Return a/c			150

Cash Book

Date	Receipt	L.F	Discount	Bank($)	Cash($)	Date	Payment	L.F	Discount	Bank($)	Cash($)
May 1	To Balance b/d				88900
May 5	To Yellow Rock a/c				4350	May 1	By selling Rent a/c			4000
May 9	To Store supplies a/c				220		By Office Rent a/c			1000
May 15	To Sales a/c				31280	May 8	By Jerry's curling Supply co. a/c			27027
May 19	To Red Rock a/c		124	6076		May 15	By Sales Salaries a/c			3230
May 30	To Sweep services a/c		1730	6920			By Office salaries a/c			1510
						May 23	By Olympics gold		4730	18920
						May 26	By electricity bill a/c			983
						May 29	By Drawings a/c				4800
						May 30	By Office Salary a/c			1510
							By Sale salary a/c			3230
May 31	To Balance c/d			48414		May 31	By Balance c/d				119950
			1850	61410	124750					61410	124750