Chapter
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12 Special Journals
Learning Objective
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Describe, explain the purpose of, and identify transactions recorded in special journals.
1
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Designed for recording only certain kinds of transactions Save time journalizing and posting transactions
Transactions are entered on a single line Column totals are posted periodically
A general journal is still needed for some transactions
Special Journals
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Special Journals
SPECIAL JOURNAL TRANSACTIONS Sales journal Sales on account
Only sales “on account,”not cash sales.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Special Journals
SPECIAL JOURNAL TRANSACTIONS
Sales journal Sales on account
Any transaction in which cash is received. Cash sales are recorded in this journal.
Cash receipts journal Cash receipts
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Special Journals
SPECIAL JOURNAL TRANSACTIONS
Sales journal Sales on account
“ON ACCOUNT” purchases of MERCHANDISE only
Cash receipts journal Cash receipts Purchases journal Purchases on account
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Special Journals
SPECIAL JOURNAL TRANSACTIONS
Sales journal Sales on account Cash receipts journal Cash receipts Purchases journal Purchases on account Cash payments journal Cash payments
Any transaction in which cash is paid.
Learning Objective
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2
Describe and use the sales journal.
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April 4 Made sale no. 133C on account to Enrico Lorenzo, $1,520 plus $76 sales tax April 10 Made sale no. 134C on account to Brenda Myers, $440 plus $22 sales tax April 18 Made sale no. 105D on account to Edith Walton, $980 plus $49 sales tax
Sales Transactions
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April 21 Made sale no. 202B on account to Susan Chang, $620 plus $31 sales tax April 24 Made sale no. 162A on account to Heidi Schwitzer, $1,600 plus $80 sales tax
Sales Transactions (cont.)
Let’s review the general journal entries for these transactions.
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Sales Entered In General Journal
DATE DESCRIPTION PR DEBIT CREDIT 1 2 3 4 5 6 7 8 9
10
Apr. 4 Accts. Receivable/E. Lorenzo 1,596 00 Sales 1,520 00 Sales Tax Payable 76 00
Sale No. 133C
Four lines are used to prepare one journal entry!!
20--
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Sales Entered In General Journal
DATE DESCRIPTION PR DEBIT CREDIT 1 2 3 4 5 6 7 8 9
10
Apr. 4 Accts. Receivable/E. Lorenzo 1,596 00 Sales 1,520 00 Sales Tax Payable 76 00
Sale No. 133C
10 Accts. Receivable/B. Myers 462 00 440 00 Sales
Sales Tax Payable Sale No. 134C
22 00
20--
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Sales Entered In General Journal (Cont.)
DATE DESCRIPTION PR DEBIT CREDIT Accts. Receivable/E. Walton 12
13 14
15 16 17 18 19 20 21
18
Sales Sales Tax Payable
1,029 00 980 00
49 00 Sale No. 105D
Accts. Receivable/S. Chang
Sales Sales Tax Payable
Sale No. 202B
651 00 620 00
31 00
21
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Sales Entered In General Journal (cont.)
DATE DESCRIPTION PR DEBIT CREDIT Accts. Receivable/H. Schwitzer 23
24 25
26 27 28 29 30 31 32
24
Sales Sales Tax Payable
1,680 00 1,600 00
80 00 Sale No. 162A
All the entries involved the same three accounts!!
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Provides a column for each account involved in “sales on account” transactions:
Accounts Receivable Debit Sales Credit Sales Tax Payable Credit
A sale is recorded in the sales journal by entering the following information:
Date Sales number Customer (to whom sold) Dollar amounts
Sales Journal
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Sales Journal
Date To Whom Sold PR Accts. Receivable Debit/Sales Credit
1
2 3 4 5 6 7 8 9
10
Sale No.
A company that does not charge sales tax, such as a wholesaler, will use a single-column
sales journal.
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Sales Journal
Date To Whom Sold PR Accts. Rec.
Debit Sales Tax
Pay. Credit 1
2 3 4 5 6 7 8 9
10
Sale No.
20-- Apr. 4 133C
Sales Credit
Enrico Lorenzo 1,596 1,520 76
The whole transaction is recorded on ONE line. Account names are not
entered.
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Sales Journal
Date To Whom Sold PR Accts. Rec.
Debit Sales Tax Pay. Credit
1
2 3 4 5 6 7 8 9
10
Sale No.
20-- Apr. 133C
Sales Credit
Enrico Lorenzo 1,596 1,520 76 4
10 134C Brenda Myers 462 440 22 18 105D Edith Walton 1,029 980 49
202B Susan Chang 651 620 31 24 162A Heidi Schwitzer 1,680 1,600 80
Now let’s look at posting from the sales journal.
18
21
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Posting From The Sales Journal
Date To Whom Sold PR Accts. Rec.
Debit Sales Tax Pay. Credit
1
2 3 4 5 6 7 8 9
10
Sale No.
20-- Apr. 133C
Sales Credit
Enrico Lorenzo 1,596 1,520 76 4 10 134C Brenda Myers 462 440 22 18 105D Edith Walton 1,029 980 49 21 202B Susan Chang 651 620 31 24 162A Heidi Schwitzer 1,680 1,600 80
Step #1a Total the amount columns.
5,418 5,160 258
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Posting From The Sales Journal
Date To Whom Sold PR Accts. Rec.
Debit Sales Tax Pay. Credit
1
2 3 4 5 6 7 8 9
10
Sale No.
20-- Apr. 133C
Sales Credit
Enrico Lorenzo 1,596 1,520 76 4
10 134C Brenda Myers 462 440 22 18 105D Edith Walton 1,029 980 49 21 202B Susan Chang 651 620 31 24 162A Heidi Schwitzer 1,680 1,600 80
Step #1b Verify that the total of the debit column equals the total of the credit columns.
5,418 5,160 258
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Posting From The Sales Journal
Date To Whom Sold PR Accts. Rec.
Debit Sales Tax Pay. Credit
2 3 4 5 6 7 8 9
10
Sale No.
20-- Apr. 133C
Sales Credit
Enrico Lorenzo 1,596 1,520 76 4 10 134C Brenda Myers 462 440 22 18 105D Edith Walton 1,029 980 49 21 202B Susan Chang 651 620 31 24 162A Heidi Schwitzer 1,680 1,600 80
5,418 5,160 258
Debits $5,418
Credits $5,418
1
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Posting From The Sales Journal
Date To Whom Sold PR Accts. Rec.
Debit Sales Tax Pay. Credit
1
2 3 4 5 6 7 8 9
10
Sale No.
20-- Apr. 133C
Sales Credit
Enrico Lorenzo 1,596 1,520 76 4
10 134C Brenda Myers 462 440 22 18 105D Edith Walton 1,029 980 49 21 202B Susan Chang 651 620 31 24 162A Heidi Schwitzer 1,680 1,600 80
Step #1c Rule the columns.
5,418 5,160 258
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Posting From The Sales Journal
Date To Whom Sold PR Accts. Rec.
Debit Sales Tax Pay. Credit
1
2 3 4 5 6 7 8 9
10
Sale No.
20-- Apr. 133C
Sales Credit
Enrico Lorenzo 1,596 1,520 76 4 10 134C Brenda Myers 462 440 22 18 105D Edith Walton 1,029 980 49 21 202B Susan Chang 651 620 31 24 162A Heidi Schwitzer 1,680 1,600 80
Let’s post the Accounts Receivable total.
5,418 5,160 258
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Posting The Sales Journal To The General Ledger
Account: Account No.
DATE ITEM PR
DR. CR. BALANCE
DR. CR.
ACCOUNTS RECEIVABLE 122
20-- Apr. 1 12,000
30
Balance
Step #2 Enter the date.
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Posting The Sales Journal To The General Ledger
Account: Account No.
DATE ITEM PR
DR. CR. BALANCE
DR. CR.
ACCOUNTS RECEIVABLE 122
20-- Apr. 1 12,000
30
Balance
Step #3 Enter the amount.
5,418
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Posting The Sales Journal To The General Ledger
Account: Account No.
DATE ITEM PR
DR. CR. BALANCE
DR. CR.
ACCOUNTS RECEIVABLE 122
20-- Apr. 1 12,000
30
Balance
Step #4 Enter the new balance.
5,418 17,418
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Posting The Sales Journal To The General Ledger
Account: Account No.
DATE ITEM PR DR. CR. BALANCE
DR. CR.
ACCOUNTS RECEIVABLE 122
20-- Apr. 1 12,000
30
Balance
Step #5 Enter the initial “S” and
the journal page number.
5,418 17,418 S6
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Posting From The Sales Journal
Date To Whom Sold PR Accts. Rec.
Debit Sales Tax Pay. Credit
1
2 3 4 5 6 7 8 9
10
Sale No.
20-- Apr. 133C
Sales Credit
Enrico Lorenzo 1,596 1,520 76 4 10 134C Brenda Myers 462 440 22 18 105D Edith Walton 1,029 980 49 21 202B Susan Chang 651 620 31 24 162A Heidi Schwitzer 1,680 1,600 80
Step #6 Enter the account number below the column total.
5,418 5,160 258 (122)
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Posting From The Sales Journal
Date To Whom Sold PR Accts. Rec.
Debit Sales Tax Pay. Credit
1
2 3 4 5 6 7 8 9
10
Sale No.
20-- Apr. 133C
Sales Credit
Enrico Lorenzo 1,596 1,520 76 4 10 134C Brenda Myers 462 440 22 18 105D Edith Walton 1,029 980 49 21 202B Susan Chang 651 620 31 24 162A Heidi Schwitzer 1,680 1,600 80
Steps #2 – #6 will be repeated for the Sales and Sales Tax Payable columns.
5,418 5,160 258 (122) (401) (231)
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Posting From The Sales Journal
Date To Whom Sold PR Accts. Rec.
Debit Sales Tax Pay. Credit
1
2 3 4 5 6 7 8 9
Sale No.
20-- Apr. 133C
Sales Credit
Enrico Lorenzo 1,596 1,520 76 4 10 134C Brenda Myers 462 440 22 18 105D Edith Walton 1,029 980 49 21 202B Susan Chang 651 620 31 24 162A Heidi Schwitzer 1,680 1,600 80
Each transaction must also be posted to the accounts receivable ledger.
5,418 5,160 258 (122) (401) (231)
10
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Accounts Receivable Ledger
Name:
DATE ITEM PR DEBIT CREDIT BALANCE
Enrico Lorenzo
Apr. 1,596 4
Address: 5240 Tousley Court, Indianapolis, IN 46224-5678
1,596 S6 Step #1: Enter the date.
Step #2: Enter the amount. Step #3: Update the balance.
Step #4: Enter the initial “S” and the journal page number in the PR
column.
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Posting From The Sales Journal
Date To Whom Sold PR Accts. Rec.
Debit Sales Tax Pay. Credit
1
2 3 4 5 6 7 8 9
10
Sale No.
20-- Apr. 133C
Sales Credit
Enrico Lorenzo 1,596 1,520 76 4 10 134C Brenda Myers 462 440 22 18 105D Edith Walton 1,029 980 49 21 202B Susan Chang 651 620 31 24 162A Heidi Schwitzer 1,680 1,600 80
“” is entered to indicate the transaction has been posted to the
accounts receivable ledger.
5,418 5,160 258 (122) (401) (231)
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Posting From The Sales Journal
Date To Whom Sold PR Accts. Rec.
Debit Sales Tax Pay. Credit
1
2 3 4 5 6 7 8 9
Sale No.
20-- Apr. 133C
Sales Credit
Enrico Lorenzo 1,596 1,520 76 4 10 134C Brenda Myers 462 440 22 18 105D Edith Walton 1,029 980 49 21 202B Susan Chang 651 620 31 24 162A Heidi Schwitzer 1,680 1,600 80
The other sales are posted to the accounts receivable ledger in the same
manner.
5,418 5,160 258 (122) (401) (231)
10
Learning Objective
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3
Describe and use the cash receipts journal.
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Used to record only cash receipt transactions Includes separate columns for:
Cash Debit Bank Credit Card Expense Debit Accounts Receivable Credit Sales Credit Sales Tax Payable Credit General Credit
Cash Receipts Journal
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Cash Receipts Journal (Left Side)
Date Account Credited PR General Credit
1 2 3 4 5 6 7 8 9
10
Accts. Rec. Credit
EXAMPLE: April 14, received cash on
account from Enrico Lorenzofor sale no. 133C, $1,596.
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Cash Receipts Journal (Left Side)
Date Account Credited PR General Credit
1 2 3 4 5 6 7 8 9
10
Accts. Rec. Credit
Step #1 Enter the date.
Apr. 20-- 14
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Cash Receipts Journal (Left Side)
Date Account Credited PR General Credit
1 2 3 4 5 6 7 8 9
10
Accts. Rec. Credit
Step #2 Enter the name of the account
credited.
Apr. 20--
14 Enrico Lorenzo
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Cash Receipts Journal (Left Side)
Date Account Credited PR General Credit
1 2 3 4 5 6 7 8 9
10
Accts. Rec. Credit
Apr. 20--
14 Enrico Lorenzo
This column is used for two purposes: 1. To identify the customer name for any collection on account. This column is used whenever the Accounts Receivable Credit
column is used. 2. To enter the appropriate account name
whenever the General Credit column is used.
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Cash Receipts Journal (Left Side)
Date Account Credited PR General Credit
1 2 3 4 5 6 7 8 9
10
Accts. Rec. Credit
Step #3 Enter the dollar amount.
Apr. 20--
14 Enrico Lorenzo 1,596
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Cash Receipts Journal (Right Side) Bank C C Exp. Debit
1 2 3 4 5 6 7 8 9
10
Cash Debit
1,596
Sales Tax Pay. Credit
Sales Credit
Accts. Rec. Credit
General Credit
1,596
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Cash Receipts Journal (Left Side)
Date Account Credited PR General Credit
1 2 3 4 5 6 7 8 9
10
Accts. Rec. Credit
Apr. 20--
14 Enrico Lorenzo 1,596 20 Brenda Myers 462
Cash was also received on account on April 20th and 28th.
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Cash Receipts Journal (Right Side) Bank C C Exp. Debit
1 2 3 4 5 6 7 8 9
10
Cash Debit
1,596
Sales Tax Pay. Credit
Sales Credit
Accts. Rec. Credit
General Credit
1,596 462 462
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Cash Receipts Journal (Left Side)
Date Account Credited PR General Credit
1 2 3 4 5 6 7 8 9
10 11
Accts. Rec. Credit
Apr. 20--
14 Enrico Lorenzo 1,596 20 Brenda Myers 462 28 Edith Walton 1,029
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Cash Receipts Journal (Right Side) Bank C C Exp. Debit
1 2 3 4 5 6 7 8 9
10 11
Cash Debit
1,596
Sales Tax Pay. Credit
Sales Credit
Accts. Rec. Credit
General Credit
1,596 462 462
1,029 1,029
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Cash Receipts Journal (Left Side)
Date Account Credited PR General Credit
1 2 3 4 5 6 7 8 9
10
Accts. Rec. Credit
Apr. 20--
14 Enrico Lorenzo 1,596 20 Brenda Myers 462 28 Edith Walton 1,029
Now let’s journalize cash sales for April 30 of $3,600 plus tax of $180.
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Cash Receipts Journal (Left Side)
Date Account Credited PR General Credit
1 2 3 4 5 6 7 8 9
10
Accts. Rec. Credit
Apr. 20--
14 Enrico Lorenzo 1,596 20 Brenda Myers 462 28 Edith Walton 1,029
This column is left blank for cash sales.
30
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Cash Receipts Journal (Right Side) Bank C C Exp. Debit
1 2 3 4 5 6 7 8 9
10
Cash Debit
1,596
Sales Tax Pay. Credit
Sales Credit
Accts. Rec. Credit
General Credit
1,596 462 462
1,029 1,029 3,600 180 3,780
3,600 180 + = 3,780
Total Credits = Total Debits
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Cash Receipts Journal (Left Side)
Date Account Credited PR General Credit
1 2 3 4 5 6 7 8 9
10
Accts. Rec. Credit
Apr. 20--
14 Enrico Lorenzo 1,596 20 Brenda Myers 462 28 Edith Walton 1,029
Bank credit card sales are similar to cash sales; no entry is made in the Account
Credited column.
30
30
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Cash Receipts Journal (Right Side) Bank C C Exp. Debit
1 2 3 4 5 6 7 8 9
10
Cash Debit
1,596
Sales Tax Pay. Credit
Sales Credit
Accts. Rec. Credit
General Credit
1,596 462 462
1,029 1,029 3,600 180 3,780
Bank credit card sales of $2,500 were made this month.
2,500
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Cash Receipts Journal (Right Side) Bank C C Exp. Debit
1 2 3 4 5 6 7 8 9
10
Cash Debit
1,596
Sales Tax Pay. Credit
Sales Credit
Accts. Rec. Credit
General Credit
1,596 462 462
1,029 1,029 3,600 180 3,780
Sales tax on these sales was $125.
2,500 125
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Cash Receipts Journal (Right Side) Bank C C Exp. Debit
1 2 3 4 5 6 7 8 9
10
Cash Debit
1,596
Sales Tax Pay. Credit
Sales Credit
Accts. Rec. Credit
General Credit
1,596 462 462
1,029 1,029 3,600 180 3,780
The service charge on these bank credit card sales was $100.
2,500 125 100
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Cash Receipts Journal (Right Side) Bank C C Exp. Debit
1 2 3 4 5 6 7 8 9
10
Cash Debit
1,596
Sales Tax Pay. Credit
Sales Credit
Accts. Rec. Credit
General Credit
1,596 462 462
1,029 1,029 3,600 180 3,780
The cash received was $2,525. [($2,500 sales + $125 tax) – $100 service
charge]
2,500 125 100 2,525
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Cash Receipts Journal (Left Side)
Date Account Credited PR General Credit
2 3 4 5 6 7 8 9
10
Accts. Rec. Credit
14 Enrico Lorenzo 1,596 20 Brenda Myers 462 28 Edith Walton 1,029
Example: April 30, received cash for rent revenue, $600.
30 30
Apr. 20--
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Cash Receipts Journal (Left Side)
Date Account Credited PR General Credit
1 2 3 4 5 6 7 8 9
10
Accts. Rec. Credit
Apr. 20--
14 Enrico Lorenzo 1,596 20 Brenda Myers 462 28 Edith Walton 1,029
We need to credit Rent Revenue and debit Cash.
30 30
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Cash Receipts Journal (Left Side)
Date Account Credited PR General Credit
Accts. Rec. Credit
Apr. 20--
14 Enrico Lorenzo 1,596 20 Brenda Myers 462 28 Edith Walton 1,029
Since there is no column for Rent Revenue, we must use the General Credit column.
30 30 30 600
1 2 3 4 5 6 7 8 9
10
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Cash Receipts Journal (Left Side)
Date Account Credited PR General Credit
Accts. Rec. Credit
Apr. 20--
14 Enrico Lorenzo 1,596 20 Brenda Myers 462 28 Edith Walton 1,029
When the General Credit column is used, the Account Credited column must identify the specific general ledger account affected.
30 30 30 600 Rent Revenue
1 2 3 4 5 6 7 8 9
10
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Cash Receipts Journal (Right Side) Bank C C Exp. Debit
Cash Debit
1,596
Sales Tax Pay. Credit
Sales Credit
Accts. Rec. Credit
General Credit
1,596 462 462
1,029 1,029 3,600 180 3,780 2,500 125 100 2,525
600 600
1 2 3 4 5 6 7 8 9
10
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Cash Receipts Journal (Left Side)
Date Account Credited PR General Credit
Accts. Rec. Credit
Apr. 20--
14 Enrico Lorenzo 1,596 20 Brenda Myers 462 28 Edith Walton 1,029
Borrowing money would be recorded in a similar manner.
30 30 30 600 Rent Revenue 30 Notes Payable 3,000
AAoA1
2 3 4 5 6 7 8 9
10
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Cash Receipts Journal (Right Side) Bank C C Exp. Debit
Cash Debit
1,596
Sales Tax Pay. Credit
Sales Credit
Accts. Rec. Credit
General Credit
1,596 462 462
1,029 1,029 3,600 180 3,780 2,500 125 100 2,525
600 600 3,000 3,000
1 2 3 4 5 6 7 8 9
10
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Posting From The Cash Receipts Journal
Date Account Credited PR General Credit
Accts. Rec. Credit
Apr. 20--
14 Enrico Lorenzo 1,596 20 Brenda Myers 462 28 Edith Walton 1,029 30 30 30 600 Rent Revenue 30 Notes Payable 3,000
On a daily basis, the amounts in the General Credit column are posted.
1 2 3 4 5 6 7 8 9
10
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Posting From The Cash Receipts Journal To The General Ledger
Account: Account No.
DATE ITEM PR DR. CR. BALANCE
DR. CR.
RENT REVENUE 412
20-- Apr. 1 1,800
30
Balance
“CR” for Cash Receipts Journal
600 2,400 CR7
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Posting From The Cash Receipts Journal
Date Account Credited PR General Credit
Accts. Rec. Credit
Apr. 20--
14 Enrico Lorenzo 1,596 20 Brenda Myers 462 28 Edith Walton 1,029
General ledger account number
30 30 30 600 Rent Revenue 30 Notes Payable 3,000
412
1 2 3 4 5 6 7 8 9
10
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Posting From The Cash Receipts Journal
Date Account Credited PR General Credit
Accts. Rec. Credit
Apr. 20--
14 Enrico Lorenzo 1,596 20 Brenda Myers 462 28 Edith Walton 1,029
Notes Payable is posted in the same manner.
30 30 30 600 Rent Revenue 30 Notes Payable 3,000
412 201
1 2 3 4 5 6 7 8 9
10
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Posting From The Cash Receipts Journal
Date Account Credited PR General Credit
Accts. Rec. Credit
Apr. 20--
14 Enrico Lorenzo 1,596 20 Brenda Myers 462 28 Edith Walton 1,029
At the end of the month, the columns are totaled.
30 30 30 600 Rent Revenue 30 Notes Payable 3,000
412 201
3,600 3,087
1 2 3 4 5 6 7 8 9
10
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Posting From The Cash Receipts Journal Bank C C Exp. Debit
Cash Debit
1,596
Sales Tax Pay. Credit
Sales Credit
Accts. Rec. Credit
General Credit
1,596 462 462
1,029 1,029 3,600 180 3,780 2,500 125 100 2,525
600 600 3,000 3,000 3,600 3,087 6,100 305 100 12,992
Next, we verify that the debit columns equal the total of the credit columns.
1 2 3 4 5 6 7 8 9
10
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Posting From The Cash Receipts Journal Bank C C Exp. Debit
Cash Debit
1,596
Sales Tax Pay. Credit
Sales Credit
Accts. Rec. Credit
General Credit
1,596 462 462
1,029 1,029 3,600 180 3,780 2,500 125 100 2,500
600 600 3,000 3,000 3,600 3,087 6,100 305 100 12,992
$3,600 + $3,087 + $6,100 + $305 = $13,092 Credits
1 2 3 4 5 6 7 8 9
10
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Posting From The Cash Receipts Journal Bank C C Exp. Debit
Cash Debit
1,596
Sales Tax Pay. Credit
Sales Credit
Accts. Rec. Credit
General Credit
1,596 462 462
1,029 1,029 3,600 180 3,780 2,500 125 100 2,525
600 600 3,000 3,000 3,600 3,087 6,100 305 100 12,992
$100 + $12,992 = $13,092 Debits DEBITS = CREDITS!!!
1 2 3 4 5 6 7 8 9
10
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Posting From The Cash Receipts Journal Bank C C Exp. Debit
Cash Debit
1,596
Sales Tax Pay. Credit
Sales Credit
Accts. Rec. Credit
General Credit
1,596 462 462
1,029 1,029 3,600 180 3,780 2,500 125 100 2,525
600 600 3,000 3,000 3,600 3,087 6,100 305 100 12,992
Each column total (except the General Credit column) is posted at the end of the month.
1 2 3 4 5 6 7 8 9
10
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Posting From The Cash Receipts Journal To The General Ledger
Account: Account No.
DATE ITEM PR DR. CR. BALANCE
DR. CR.
ACCOUNTS RECEIVABLE 122
20-- Apr. 1 12,000
30
Balance
“CR” for Cash Receipts Journal
5,418 17,418 S6 30 CR7 3,087 14,331
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Posting From The Cash Receipts Journal Bank C C Exp. Debit
Cash Debit
1,596
Sales Tax Pay. Credit
Sales Credit
Accts. Rec. Credit
General Credit
1,596 462 462
1,029 1,029 3,600 180 3,780 2,500 125 100 2,525
600 600 3,000 3,000 3,600 3,087 6,100 305 100 12,992
(122) The account number indicates that the total was posted.
1 2 3 4 5 6 7 8 9
10
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Posting From The Cash Receipts Journal Bank C C Exp. Debit
Cash Debit
1,596
Sales Tax Pay. Credit
Sales Credit
Accts. Rec. Credit
General Credit
1,596 462 462
1,029 1,029 3,600 180 3,780 2,500 125 100 2,525
600 600 3,000 3,000 3,600 3,087 6,100 305 100 12,992
(122) (401) (231) (513) (101)
Remaining columns are posted in the same manner.
1 2 3 4 5 6 7 8 9
10
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Posting From The Cash Receipts Journal Bank C C Exp. Debit
1 2 3 4 5 6 7 8 9
10
Cash Debit
1,596
Sales Tax Pay. Credit
Sales Credit
Accts. Rec. Credit
General Credit
1,596 462 462
1,029 1,029 3,600 180 3,780 2,500 125 100 2,525
600 600 3,000 3,000 3,600 3,087 6,100 305 100 12,992
(122) (401) (231) (513) (101)
“()” indicates the column total is not posted.
()
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Posting To The Cash Receipts Journal
Date Account Credited PR General Credit
1 2 3 4 5 6 7 8 9
10
Accts. Rec. Credit
Apr. 20--
14 Enrico Lorenzo 1,596 20 Brenda Myers 462 28 Edith Walton 1,029
Postings to the subsidiary accounts receivable ledger are made daily.
30
30 30 600 Rent Revenue 30 Notes Payable 3,000
412 201 3,600 3,087
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Posting From The Cash Receipts Journal To The Accounts Receivable Ledger
Name:
DATE ITEM PR DEBIT CREDIT BALANCE
Enrico Lorenzo
20-- Apr. 1,596 4
Address: 5240 Tousley Court, Indianapolis, IN 46224-5678
1,596 S6 14 1,596 CR7 —
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Posting From The Cash Receipts Journal
Date Account Credited PR General Credit
1 2 3 4 5 6 7 8 9
10
Accts. Rec. Credit
Apr. 20--
14 Enrico Lorenzo 1,596 20 Brenda Myers 462 28 Edith Walton 1,029 30 30 30 600 Rent Revenue 30 Notes Payable 3,000
412 201
3,600 3,087
“” indicates the transaction was posted to the accounts receivable subsidiary ledger.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Posting From The Cash Receipts Journal
Date Account Credited PR General Credit
1 2 3 4 5 6 7 8 9
10
Accts. Rec. Credit
Apr. 20--
14 Enrico Lorenzo 1,596 20 Brenda Myers 462 28 Edith Walton 1,029 30 30 30 600 Rent Revenue 30 Notes Payable 3,000
412 201
3,600 3,087
The payments by Brenda and Edith are posted in the same manner.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Posting From The Cash Receipts Journal
Date Account Credited PR General Credit
1 2 3 4 5 6 7 8 9
10
Accts. Rec. Credit
Apr. 20--
14 Enrico Lorenzo 1,596 20 Brenda Myers 462 28 Edith Walton 1,029 30 30 30 600 Rent Revenue 30 Notes Payable 3,000
412 201
3,600 3,087
“” is entered into the PR column for cash sales and bank credit card sales.
Learning Objective
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
4
Describe and use the purchases journal.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Used to record only purchases of merchandise on account
Cash purchases would be recorded in the cash payments journal
There are two types of formats: Single column
Purchases Debit/Accounts Payable Credit Three columns
Purchases Debit Freight-In Debit Accounts Payable Credit
Purchases Journal
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Purchases Journal
Date From Whom Purchased PR
Purchases Debit/ Accounts Payable Credit
1
2 3 4 5 6 7 8 9
10
Invoice No.
For our example, we will use a single-column purchases journal.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Purchases Journal
Date From Whom Purchased PR
Purchases Debit/ Accounts Payable Credit
1 2 3 4 5 6 7 8 9
10
Invoice No.
EXAMPLE: April 4, purchased merchandise from Compucraft, Inc., $3,300. Invoice no.
631, dated April 2, n/30.
20-- Apr. 4 631 Compucraft, Inc. 3,300
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Purchases Journal
Date From Whom Purchased PR
Purchases Debit/ Accounts Payable Credit
1 2 3 4 5 6 7 8 9
10
Invoice No.
All purchases transactions are journalized in the same manner.
20-- Apr. 4 631 Compucraft, Inc. 3,300
8 927D Datasoft 2,500 11 804 EZX Corp. 8,700 17 611 Printpro Corp. 800 23 1465 Televax, Inc. 5,300
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Posting From The Purchases Journal
Date From Whom Purchased PR
Purchases Debit/ Accounts Payable Credit
1 2 3 4 5 6 7 8 9
10
Invoice No.
At the end of the month, the column is totaled, ruled, and posted to the general ledger
accounts.
20-- Apr. 4 631 Compucraft, Inc. 3,300
8 927D Datasoft 2,500 11 804 EZX Corp. 8,700 17 611 Printpro Corp. 800 23 1465 Televax, Inc. 5,300
20,600
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Posting From The Purchases Journal To The General Ledger
Account: Account No.
DATE ITEM PR DR. CR. BALANCE
DR. CR.
PURCHASES 501
20-- Apr. 1 17,400
30
Balance
“P” for Purchases Journal
20,600 38,000 P8
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Posting From The Purchases Journal
Date From Whom Purchased
PR Purchases Debit/
Accounts Payable Credit
1 2 3 4 5 6 7 8 9
10
Invoice No.
20-- Apr. 4 631 Compucraft, Inc. 3,300
8 927D Datasoft 2,500 11 804 EZX Corp. 8,700 17 611 Printpro Corp. 800 23 1465 Televax, Inc. 5,300
20,600 (501)
The account number indicates that the column total has been
posted.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Posting From The Purchases Journal To The General Ledger
Account: Account No.
DATE ITEM PR DR. CR. BALANCE
DR. CR.
ACCOUNTS PAYABLE 202
20-- Apr. 1 4,800
30
Balance 20,600 25,400 P8
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Posting From The Purchases Journal
Date From Whom Purchased PR
Purchases Debit/ Accounts Payable Credit
1 2 3 4 5 6 7 8 9
10
Invoice No.
20-- Apr. 4 631 Compucraft, Inc. 3,300
8 927D Datasoft 2,500 11 804 EZX Corp. 8,700 17 611 Printpro Corp. 800 23 1465 Televax, Inc. 5,300
20,600 (501) (202)
Transactions are posted to the accounts payable
ledger on a daily basis.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Posting From The Purchases Journal To The Accounts Payable Ledger
Name:
DATE ITEM PR DEBIT CREDIT BALANCE
Compucraft, Inc.
20-- Apr. 3,300 4
Address: 2100 West Main Street, Muncie, IN 47304-8139
3,300 P8
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Posting From The Purchases Journal
Date From Whom Purchased PR
Purchases Debit/ Accounts Payable Credit
1 2 3 4 5 6 7 8 9
10
Invoice No.
20-- Apr. 4 631 Compucraft, Inc. 3,300
8 927D Datasoft 2,500 11 804 EZX Corp. 8,700 17 611 Printpro Corp. 800 23 1465 Televax, Inc. 5,300
20,600 (501) (202)
“” is entered in the PR column when posting is completed.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Posting From The Purchases Journal
Date From Whom Purchased PR
Purchases Debit/ Accounts Payable Credit
1 2 3 4 5 6 7 8 9
10
Invoice No.
20-- Apr. 4 631 Compucraft, Inc. 3,300
8 927D Datasoft 2,500 11 804 EZX Corp. 8,700 17 611 Printpro Corp. 800 23 1465 Televax, Inc. 5,300
20,600 (501) (202)
The remaining transactions are posted in the same manner.
Learning Objective
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
5
Describe and use the cash payments journal.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Used to record only cash payments transactions Every transaction in the journal will involve a credit to the cash account Columns are set up in the journal for the most commonly affected accounts in cash payments transactions
Cash Payments Journal
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Cash Payments Journal (Left Side)
Date Account Debited PR General
Debit 1 2 3 4 5 6 7 8 9
10
EXAMPLE: April 2, payment of rent, $2,400.
Check No.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Cash Payments Journal (Left Side)
Date Account Debited PR General
Debit 1 2 3 4 5 6 7 8 9
10
All cash payments (except those from petty cash) should be made
by check for good internal control.
20-- Apr. 2
Check No.
307
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Cash Payments Journal (Left Side)
Date Account Debited PR General
Debit 1 2 3 4 5 6 7 8 9
10
This column is used for two purposes: 1. To identify a supplier name for any
payment on account. This column is used whenever the Accounts Payable
Debit column is used. 2. To enter the appropriate account name
whenever the General Debit column is used.
20-- Apr. 2
Check No.
307 2,400 Rent Expense
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Cash Payments Journal (Right Side)
1 2 3 4 5 6 7 8 9
10
Cash Credit
Purch. Disc. Credit
Purchases Debit
Accts. Pay. Debit
General Debit
2,400 2,400
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Cash Payments Journal (Left Side)
Date Account Debited PR General
Debit
1 2 3 4 5 6 7 8 9
10
EXAMPLE: April 4, merchandise was purchased for
cash, $1,400.
20-- Apr. 2
Check No.
307 2,400 Rent Expense 4 308
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Cash Payments Journal (Right Side)
1 2 3 4 5 6 7 8 9
10
Cash Credit
Purch. Disc. Credit
Purchases Debit
Accts. Pay. Debit
General Debit
2,400 2,400 1,400 1,400
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Cash Payments Journal (Left Side)
Date Account Debited PR General
Debit
1 2 3 4 5 6 7 8 9
10
EXAMPLE: April 10, payment was
made on account, $4,800.
20-- Apr. 2
Check No.
307 2,400 Rent Expense 4 308
10 309 B. B. Small
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Cash Payments Journal (Right Side)
1 2 3 4 5 6 7 8 9
10
Cash Credit
Purch. Disc. Credit
Purchases Debit
Accts. Pay. Debit
General Debit
2,400 2,400 1,400 1,400
4,800 4,800
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Cash Payments Journal (Left Side)
Date Account Debited PR General
Debit 1 2 3 4 5 6 7 8 9
10
20-- Apr. 2
Check No.
307 2,400 Rent Expense 4 308
10 309 B. B. Small 14 310 Notes Payable
EXAMPLE: April 14, payment was made on a
note payable, $2,000.
2,000
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Cash Payments Journal (Right Side)
1 2 3 4 5 6 7 8 9
10
Cash Credit
Purch. Disc. Credit
Purchases Debit
Accts. Pay. Debit
General Debit
2,400 2,400 1,400 1,400
4,800 4,800 2,000 2,000
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Cash Payments Journal (Left Side)
Date Account Debited PR General
Debit
1 2 3 4 5 6 7 8 9
10
20-- Apr. 2
Check No.
307 2,400 Rent Expense 4 308
10 309 B. B. Small 14 310 Notes Payable
EXAMPLE: April 22, owner withdrew
cash for personal use, $1,600.
2,000 22 311 Gary L. Fishel, Drawing 1,600
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Cash Payments Journal (Right Side)
1 2 3 4 5 6 7 8 9
10
Cash Credit
Purch. Disc. Credit
Purchases Debit
Accts. Pay. Debit
General Debit
2,400 2,400 1,400 1,400
4,800 4,800 2,000 2,000 1,600 1,600
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Cash Payments Journal (Left Side)
Date Account Debited PR General
Debit 1 2 3 4 5 6 7 8 9
10
20-- Apr. 2
Check No.
307 2,400 Rent Expense 4 308
10 309 B. B. Small 14 310 Notes Payable
EXAMPLE: April 24, made payment on account
within the discount period.
2,000 22 311 Gary L. Fishel, Drawing 1,600 24 312 EZX Corp.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Cash Payments Journal (Right Side)
1 2 3 4 5 6 7 8 9
10
Cash Credit
Purch. Disc. Credit
Purchases Debit
Accts. Pay. Debit
General Debit
2,400 2,400 1,400 1,400
4,800 4,800 2,000 2,000 1,600 1,600
8,700 87 8,613
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Posting From The Cash Payments Journal
Date Account Debited PR General
Debit
1 2 3 4 5 6 7 8 9
10
20-- Apr. 2
Check No.
307 2,400 Rent Expense 4 308
10 309 B. B. Small 14 310 Notes Payable
On a daily basis, the amounts in the General Debit column are posted.
2,000 22 311 Gary L. Fishel, Drawing 1,600 24 312 EZX Corp.
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Posting From The Cash Payments Journal
Date Account Debited PR General
Debit
1 2 3 4 5 6 7 8 9
10
20-- Apr. 2
Check No.
307 2,400 Rent Expense 4 308
10 309 B. B. Small 14 310 Notes Payable
The initial “CP” is entered in the ledger account’s PR column, and the account number is entered in the journal’s PR
column.
2,000 22 311 Gary L. Fishel, Drawing 1,600 24 312 EZX Corp.
521
201 312
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Posting From The Cash Payments Journal
Date Account Debited PR General
Debit
1
2
3
4
5
6
7
8
9
10
20-- Apr. 2
Check No.
307 2,400 Rent Expense
4 308 10 309 B. B. Small 14 310 Notes Payable
At the end of the month, the columns are totaled, the equality of debits and credits is
verified, and the totals are posted to the general ledger.
2,000
22 311 Gary L. Fishel, Drawing 1,600
24 312 EZX Corp.
521
201
312
6,000
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Posting From The Cash Payments Journal
1 2 3 4 5 6 7 8 9
10
Cash Credit
Purch. Disc. Credit
Purchases Debit
Accts. Pay. Debit
General Debit
2,400 2,400 1,400 1,400
4,800 4,800 2,000 2,000 1,600 1,600
8,700 87 8,613 6,000 13,500 1,400 87 20,813
6,000 + 13,500 + 1,400 = 20,900
87 + 20,813
= 20,900
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Posting From The Cash Payments Journal
1 2 3 4 5 6 7 8 9
10
Cash Credit
Purch. Disc. Credit
Purchases Debit
Accts. Pay. Debit
General Debit
2,400 2,400 1,400 1,400
4,800 4,800 2,000 2,000 1,600 1,600
8,700 87 8,613 6,000 13,500 1,400 87 20,813
“()” indicates the column should not be posted.
()
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Posting From The Cash Payments Journal
1 2 3 4 5 6 7 8 9
10
Cash Credit
Purch. Disc. Credit
Purchases Debit
Accts. Pay. Debit
General Debit
2,400 2,400 1,400 1,400
4,800 4,800 2,000 2,000 1,600 1,600
8,700 87 8,613 6,000 13,500 1,400 87 20,813
Account numbers indicate the totals were posted.
(202) (501) (501.2) (101) ()
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Posting From The Cash Payments Journal
Date Account Debited PR General
Debit
1 2 3 4 5 6 7 8 9
10
20-- Apr. 2
Check No.
307 2,400 Rent Expense 4 308 10 309 B. B. Small 14 310 Notes Payable
Transactions affecting the accounts payable ledger are posted daily.
2,000 22 311 Gary L. Fishel, Drawing 1,600 24 312 EZX Corp.
521
201 312
6,000
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Posting From The Cash Payments Journal
Date Account Debited PR General
Debit
1 2 3 4 5 6 7 8 9
10
20-- Apr. 2
Check No.
307 2,400 Rent Expense 4 308 10 309 B. B. Small 14 310 Notes Payable
“” is entered to indicate the transaction has been posted.
2,000 22 311 Gary L. Fishel, Drawing 1,600 24 312 EZX Corp.
521
201 312
6,000
© 2014 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.
Posting From The Cash Payments Journal
Date Account Debited PR General
Debit
1 2 3 4 5 6 7 8 9
10
20-- Apr. 2
Check No.
307 2,400 Rent Expense 4 308
10 309 B. B. Small 14 310 Notes Payable
“” is also entered for transactions that do not require individual postings.
2,000 22 311 Gary L. Fishel, Drawing 1,600 24 312 EZX Corp.
521
201 312
6,000