Journalize the transactions. Refer to the Chart of Accounts for exact wording of
ID: 2468949 • Letter: J
Question
Journalize the transactions. Refer to the Chart of Accounts for exact wording of account titles.
Cactus Restoration Company completed the following selected transactions during October 2016:
Cactus Restoration Company completed the following selected transactions during October 2016:
October 1. Established a petty cash fund of $750. 12. The cash sales for the day, according to the cash register records, totaled $12,440. The actual cash received from cash sales was $12,465. 31. Petty cash on hand was $157. Replenished the petty cash fund for the following disbursements, each evidenced by a petty cash receipt: October 3. Store supplies, $390. 7. Express charges on merchandise sold, $35 (Delivery Expense). 9. Office supplies, $16. 13. Office supplies, $22. 19. Postage stamps, $12 (Office Supplies). 21. Repair to office file cabinet lock, $15 (Miscellaneous Administrative Expense). 22. Postage due on special delivery letter, $27 (Miscellaneous Administrative Expense). 24. Express charges on merchandise sold, $55 (Delivery Expense). 30. Office supplies, $6. October 31. The cash sales for the day, according to the cash register records, totaled $18,820. The actual cash received from cash sales was $18,780. 31. Decreased the petty cash fund by $100.CHART OF ACCOUNTS Cactus Restoration Company General Ledger ASSETS 110 Cash 111 Petty Cash 120 Accounts Receivable 131 Notes Receivable 132 Interest Receivable 141 Merchandise Inventory 145 Office Supplies 146 Store Supplies 151 Prepaid Insurance 181 Land 191 Office Equipment 192 Accumulated Depreciation-Office Equipment 193 Store Equipment 194 Accumulated Depreciation-Store Equipment LIABILITIES 210 Accounts Payable 221 Notes Payable 222 Interest Payable 231 Salaries Payable 241 Sales Tax Payable EQUITY 310 Owner, Capital 311 Owner, Drawing 312 Income Summary REVENUE 410 Sales 610 Interest Revenue EXPENSES 510 Cost of Merchandise Sold 515 Credit Card Expense 516 Cash Short and Over 520 Salaries Expense 531 Advertising Expense 532 Delivery Expense 533 Insurance Expense 534 Office Supplies Expense 535 Rent Expense 536 Repairs Expense 537 Selling Expenses 538 Store Supplies Expense 561 Depreciation Expense-Office Equipment 562 Depreciation Expense-Store Equipment 591 Miscellaneous Administrative Expense 592 Miscellaneous Selling Expense 710 Interest Expense
Explanation / Answer
Answer:
Cactus Restoration Journal Entry for the month of October,2016 Date COA Particulars LF Debit Credit 01-Oct 111 Petty Cash … Dr. $750 110 To Cash … Cr. $750 (Being petty cash fund established by transferring fund from Cash in Hand) 03-Oct 146 Store Supplies … Dr. $390 111 To Petty Cash … Cr. $390 07-Oct 532 Delivery Expense … Dr. $35 111 To Petty Cash … Cr. $35 09-Oct 534 Office Supplies Expense … Dr. $16 111 To Petty Cash … Cr. $16 (Note: All purchases of office supplies considering immaterial amount have been charged to P & L when incurred for ease of accounting and recording) 12-Oct 110 Cash … Dr. $12,465 410 To Sales … Cr. $12,465 (Note: Actual Cash received from sales is in excess of amount recorded in cash register it means that sales of $25 ($12465-$12440) could not be recorded my mistake.) 13-Oct 534 Office Supplies Expense … Dr. $22 111 To Petty Cash … Cr. $22 19-Oct 534 Office Supplies Expense … Dr. $12 111 To Petty Cash … Cr. $12 21-Oct 591 Miscellaneous Administrative Expense … Dr. $15 111 To Petty Cash … Cr. $15 22-Oct 591 Miscellaneous Administrative Expense … Dr. $27 210 To Account Payable … Cr. $27 (Note: From the language it seems that Postage due of $27 has not yet been paid and will be paid in the next months) 24-Oct 532 Delivery Expense … Dr. $55 111 To Petty Cash … Cr. $55 30-Oct 534 Office Supplies Expense … Dr. $6 111 To Petty Cash … Cr. $6 31-Oct 110 Cash … Dr. $18,780 410 To Sales … Cr. $18,780 (Note: The difference of $40 ($18820-$18780) may be on account of Sales return not recorded in cash register) 31-Oct 110 Cash … Dr. $100 111 To Petty Cash … Cr. $100Related Questions
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