Question

During the month of September, the following transactions occurred. The applicable sales tax rate is 6%.

Sept.   2		Sold merchandise on account to Sam Larson, $1,400, plus sales tax.
7		Sold merchandise on account to David Mitchell, $1,900, plus sales tax.
12		Issued credit memorandum to Sam Larson for $689, including sales tax of $39.
22		Sold merchandise on account to Matt Feustal, $500, plus sales tax.
28		Sold merchandise on account to Ana Cardona, $850, plus sales tax.

Enter the transactions in the general journal. If an amount box does not require an entry, leave it blank.

Answer 1

Date	Accounts titles	Debit	credit
Sept. 2	Accounts Receivable-Sam Larson	1484
	Sales		1400
	Sales Tax Payable [=1400*6% ]		84
Sept. 7	Accounts Receivable-David Mitchell	2014
	Sales		1900
	Sales Tax Payable [ =1900*6%]		114
Sept. 12	Sales Returns and Allowances	650
	Sales Tax Payable	39
	Accounts Receivable-Sam Larson		689
Sept. 22	Accounts Receivable-Matt Feustal	530
	Sales		500
	Sales Tax Payable [ 500 x 6% ]		30
Sept. 28	Accounts Receivable-Ana Cardona	901
	Sales		850
	Sales Tax Payable [ 850 x 6% ]		51

Journal entries record the transactions of a business. It presents transactions in a consecutive manner, based on dates or on when the events or transactions occurred.