Question

Sales-Related and Purchase-Related Transactions Using Periodic Inventory System

The following were selected from among the transactions completed by Essex Company during July of the current year:

July 3.	Purchased merchandise on account from Hamling Co., list price $72,000, trade discount 15%, terms FOB shipping point, 2/10, n/30, with prepaid freight of $1,450 added to the invoice.
5.	Purchased merchandise on account from Kester Co., $33,450, terms FOB destination, 2/10, n/30.
6.	Sold merchandise on account to Parsley Co., $36,000, terms n/15. The cost of the merchandise sold was $25,000.
7.	Returned $6,850 of merchandise purchased on July 5 from Kester Co.
13.	Paid Hamling Co. on account for purchase of July 3.
15.	Paid Kester Co. on account for purchase of July 5, less return of July 7.
21.	Received cash on account from sale of July 6 to Parsley Co.
21.	Sold merchandise on MasterCard, $108,000. The cost of the merchandise sold was $64,800.
22.	Sold merchandise on account to Tabor Co., $16,650, terms 2/10, n/30. The cost of the merchandise sold was $10,000.
23.	Sold merchandise for cash, $91,200. The cost of the merchandise sold was $55,000.
28.	Paid Parsley Co. a cash refund of $2,500 for damaged merchandise from sale of July 6. Parsley Co. kept the merchandise.
31.	Paid MasterCard service fee of $1,650.

Required:

Journalize the entries to record the transactions of Essex Company for July using the periodic inventory system. If an amount box does not require an entry, leave it blank.

July 3		fill in the blank 2	fill in the blank 3
		fill in the blank 5	fill in the blank 6
		fill in the blank 8	fill in the blank 9
July 5		fill in the blank 11	fill in the blank 12
		fill in the blank 14	fill in the blank 15
July 6		fill in the blank 17	fill in the blank 18
		fill in the blank 20	fill in the blank 21
July 7		fill in the blank 23	fill in the blank 24
		fill in the blank 26	fill in the blank 27
July 13		fill in the blank 29	fill in the blank 30
		fill in the blank 32	fill in the blank 33
		fill in the blank 35	fill in the blank 36
July 15		fill in the blank 38	fill in the blank 39
		fill in the blank 41	fill in the blank 42
		fill in the blank 44	fill in the blank 45
July 21		fill in the blank 47	fill in the blank 48
		fill in the blank 50	fill in the blank 51
July 21		fill in the blank 53	fill in the blank 54
		fill in the blank 56	fill in the blank 57
July 22		fill in the blank 59	fill in the blank 60
		fill in the blank 62	fill in the blank 63
July 23		fill in the blank 65	fill in the blank 66
		fill in the blank 68	fill in the blank 69
July 28		fill in the blank 71	fill in the blank 72
		fill in the blank 74	fill in the blank 75
July 31		fill in the blank 77	fill in the blank 78
		fill in the blank 80	fill in the blank 81

Answer 1

Date	Account Titles	Debit	Credit
Jul. 3	Purchases	$           62,650
	Accounts Payable - Hamling Co.		$           62,650
Jul. 5	Purchases	$           33,450
	Accounts Payable - Kester Co.		$           33,450
Jul. 6	Accounts Receivable - Parsley Co.	$           36,000
	Sales Revenue		$           36,000
Jul. 7	Accounts Payable - Kester Co.	$             6,850
	Purchase Return		$             6,850
Jul. 13	Accounts Payable - Hamling Co.	$           62,650
	Purchase Discount		$             1,224
	Cash		$           61,426
Jul. 15	Accounts Payable - Kester Co.	$           26,600
	Purchase Discount		$                 532
	Cash		$           26,068
Jul. 21	Cash	$           36,000
	Accounts Receivable - Parsley Co.		$           36,000
Jul. 21	Cash	$         108,000
	Sales Revenue		$         108,000
Jul. 22	Accounts Receivable - Tabor Co.	$           16,650
	Sales Revenue		$           16,650
Jul. 23	Cash	$           91,200
	Sales Revenue		$           91,200
Jul. 28	Sales Returns and Allowances	$             2,500
	Cash		$             2,500
Jul. 31	Service Fee	$             1,650
	Cash		$             1,650