Question

Gonzalez Company completes these transactions and events during March of the current year (terms for all its credit sales are 2/10, n/30).

Mar.		1		Purchased $44,000 of merchandise from Wright Industries, invoice dated March 1, terms 2/15, n/30.
Mar.		2		Sold merchandise on credit to Mitchell Co., Invoice No. 854, for $21,600 (cost is $13,000).
Mar.		3		Purchased $1,900 of office supplies on credit from Turner Company, invoice dated March 3, terms n/10 EOM.
Mar.		3		Sold merchandise on credit to Carolyn Clinton, Invoice No. 855, for $14,000 (cost is $8,400).
Mar.		6		Borrowed $90,000 cash from First Bank by signing a long-term note payable.
Mar.		9		Purchased $22,250 of office equipment on credit from Ryan Supply, invoice dated March 9, terms n/10 EOM.
Mar.		10		Sold merchandise on credit to Jaden Thompson, Invoice No. 856, for $11,200 (cost is $6,700).
Mar.		12		Received payment from Mitchell Co. for the March 2 sale less the discount.
Mar.		13		Sent Wright Industries Check No. 416 in payment of the March 1 invoice less the discount.
Mar.		13		Received payment from Carolyn Clinton for the March 3 sale less the discount.
Mar.		14		Purchased $35,800 of merchandise from the Brown Co., invoice dated March 13, terms 2/10, n/30.
Mar.		15		Issued Check No. 417, payable to Payroll, in payment of sales salaries expense for the first half of the month, $19,100. Cashed the check and paid the employees.
Mar.		15		Cash sales for the first half of the month are $38,000 (cost is $22,800). (Cash sales are recorded daily, but are recorded only twice here to reduce repetitive entries.)
Mar.		16		Purchased $2,400 of store supplies on credit from Turner Company, invoice dated March 16, terms n/10 EOM.
Mar.		17		Received a $3,800 credit memorandum from Brown Co. for the return of unsatisfactory merchandise purchased on March 14.
Mar.		19		Received a $3,340 credit memorandum from Ryan Supply for office equipment received on March 9 and returned for credit.
Mar.		20		Received payment from Jaden Thompson for the sale of March 10 less the discount.
Mar.		23		Issued Check No. 418 to Brown Co. in payment of the invoice of March 13 less the March 17 return and the discount.
Mar.		27		Sold merchandise on credit to Jaden Thompson, Invoice No. 857, for $25,000 (cost is $15,000).
Mar.		28		Sold merchandise on credit to Carolyn Clinton, Invoice No. 858, for $8,400 (cost is $5,000).
Mar.		31		Issued Check No. 419, payable to Payroll, in payment of sales salaries expense for the last half of the month, $19,100. Cashed the check and paid the employees.
Mar.		31		Cash sales for the last half of the month are $34,200 (cost is $20,500). In need of a- General Journal tab   Cash Receipts Journal tab

Answer 1

		Gonzalez Company
		General Journal
	Date	Journal	Amount (DR)	Amount (CR)
	1-Mar	Merchandise Purchased	$         44,000.00
		To Accounts Payable		$                               44,000.00
		(Being Goods Purchased from Wright Industries)
	2-Mar	Accounts Receivable	$         21,600.00
		To Sales		$                               21,600.00
		(Being Sales to Mitchell Co. vide Invoice No.854)
	2-Mar	Cost of goods sold	$         13,000.00
		To Mercendise Inventory		$                               13,000.00
		(Being amount of cost of goods sold to Mtchell Co.)
	3-Mar	Office Supplies	$            1,900.00
		To Accounts Payable		$                                 1,900.00
		(Being amout of office supplies purchases from Turner Company
	3-Mar	Accounts Receivable	$         14,000.00
		To Sales		$                               14,000.00
		(Being Sales to Carolyn Clinton vide Invoice No.855)
	3-Mar	Cost of goods sold	$            8,400.00
		To Mercendise Inventory		$                                 8,400.00
		(Being amount of cost of goods sold to Carolyn clinton)
	6-Mar	Cash	$         90,000.00
		To Long term Notes Payable		$                               90,000.00
		(Being amount borrowed from First Bank against long term note payable)
	9-Mar	Office Equipment	$         22,250.00
		To Accounts Payable		$                               22,250.00
		(Being amount of Office Equipment purchased on credit from Ryan Supply)
	10-Mar	Accounts Receivable	$         11,200.00
		To Sales		$                               11,200.00
		(Being Sales to Japen Thompson vide Invoice No.856)
	10-Mar	Cost of goods sold	$            6,700.00
		To Mercendise Inventory		$                                 6,700.00
		(Being amount of cost of goods sold to Japen Thompson)
	12-Mar	Cash=($21600*98%)	$         21,168.00
		Sales Discount=($14400*3%)	$               432.00
		To Accounts Receivable		$                               21,600.00
		(Being Amount received from Mitchell Co after discount allowed 2%)
	13-Mar	Accounts Payable	$         44,000.00
		To Cash=($44000*98%)		$                               43,120.00
		To Purchase Discount=($44000*2%)		$                                     880.00
		(Being amount of Cheque paid to Wright Industries)
	13-Mar	Cash=($14000*98%)	$         13,720.00
		Sales Discount=($14000*2%)	$               280.00
		To Accounts Receivable		$                               14,000.00
		(Being Amount received from Carolyan Clinton after discount allowed 2%)
	14-Mar	Mercendise Purchased	$         35,800.00
		To Accounts Payable		$                               35,800.00
		(Being Amount of Mercendise Purchased from Brown Company)
	15-Mar	Sales Salaries	$         19,100.00
		To Cash		$                               19,100.00
		(Being amount of sales salaries paid for the first half of the month)
	15-Mar	Cash	$         38,000.00
		To Sales		$                               38,000.00
		(Being Amount of Cash Sales for the first half of month)
	15-Mar	Cost of goods sold	$         22,800.00
		To Mercendise Purchase		$                               22,800.00
		(Being amount of cost of goods sold)
	16-Mar	Store Supplies	$            2,400.00
		To Accounts Payable		$                                 2,400.00
		(Being amount of store supplies from Turner Company)
	17-Mar	Accounts Payable	$            3,800.00
		To Purchase return & allowances		$                                 3,800.00
		(Being amount of Purchase return to Brown Comany)
	19-Mar	Accounts Payable	$            3,340.00
		To Office Equipment		$                                 3,340.00
		(Being amount of credit memorandum from Ryan Supply)
	20-Mar	Cash=($11200*98%)	$         10,976.00
		Sales Discount=($11200*2%)	$               224.00
		To Accounts Receivable		$                               11,200.00
		(Being Amount received from Japen Thompson after discount allowed 2%)
	23-Mar	Accounts Payable=($35800-$3800)	$         32,000.00
		To Cash		$                               31,360.00
		To Purchase Return & Allowances		$                                     640.00
		(Being Amount of Cash Paid after return & discount)
	27-Mar	Accounts Receivable	$         25,000.00
		To Sales		$                               25,000.00
		(Being amount of Sales to Japen Thompson vide Invoice no.857)
	27-Mar	Cost of goods sold	$         15,000.00
		To Mercendise Purchase		$                               15,000.00
		(Being amount of cost of goods sold to Japen Thompson)
	28-Mar	Accounts Receivable	$            8,400.00
		To Sales		$                                 8,400.00
		(Being amount of Sales to Carolyan Clinton vide Invoice no.858)
	28-Mar	Cost of goods sold	$            5,000.00
		To Mercendise Purchase		$                                 5,000.00
		(Being amount of cost of goods sold to Carloyan Clinton)
	31-Mar	Sales Salaries	$         19,100.00
		To Cash		$                               19,100.00
		(Being amount of sales salaries paid for the first half of the month)
	31-Mar	Cash	$         34,200.00
		To Sales		$                               34,200.00
		(Being amount of Cash Sales)
	31-Mar	Cost of goods sold	$         20,500.00
		To Mercendise Purchase		$                               20,500.00
		(Being amount of cost of goods sold )
		Cash Receipts Journal
	Date	Account Credited	Explanation	Cash (Dr)	Sales Discount(Dr)	Accounts Receivable(Cr)	Sales(Cr)	Other Accounts(cr)
	6-Mar	Long Term Note Payable	Note to Bank	$                               90,000.00				$     90,000.00
	12-Mar	Mitchell Co.	Inv.No.854	$                               21,168.00	$            432.00	$       21,600.00
	13-Mar	Carolyan Clinton	Inv.No.855	$                               13,720.00	$            280.00	$       14,000.00
	15-Mar	Cash Sales	Cash sales	$                               38,000.00			$    38,000.00
	20-Mar	Japen Thompson)	Inv.No. 856	$                               10,976.00	$            224.00	$       11,200.00
	31-Mar	Cash Sales		$                               34,200.00			$    34,200.00
		Total		$                            208,064.00	$            936.00	$       46,800.00	$    72,200.00	$     90,000.00