Select accounts from the chart of accounts of Boyden Company are shown below

Select accounts from the chart of accounts of Boyden Company are shown below

 

101 cash 112 accounts receivable 120 merchandise inventory 126 supplies 157 equipment 201 accounts payable 401 sales 412 sales returns and allowances 414 sales discounts 505 cost of goods 726 salaries expense

The cost of all merchandise sold was 60% of the sales price. During January Boyden completed the following transactions
 

Jan 3 purchased merchandise on account from Wortham co.$10,000

Jan 4 purchased supplies for cash$ 80

Jan 4 sold merchandise on account to Millan $ 5,250 invoice no. 371 terms 1/10 n/30

Jan 5 returned $300 worth of damaged goods purchased on account from Wortham co. on January 3

Jan 6 made cash sales for the week totaling $ 3,150

Jan 8 purchased merchandise on account from Noyes co. $4,500

Jan 9 sold merchandise on account to Connor Corp $6,400 invoice no 372 terms 1/10, n/30

11 purchased merchandise on account from Betz co. $3,700

13 paid in full Wortham co. on account less a 2% discount

13 made cash sales for the week totaling $6,260

15 received payment from Connor Corp for invoice no. 372

15 paid semi-monthly salaries of $14,300 to employees

17 received payment from Milan for invoice no. 371

17 sold merchandise on account to bullock co $1,200 invoice no 373 terms 1/10 n/30

19 purchased equipment on account from Murphy Corp $5,500

20 cash sales for the week totaled $3,200

20 paid in full Noyes co, on account less a 2% discount

23 purchased merchandise on account from Wortham co $7,800

24 purchased merchandise on account from Fogetta Corp $5,100

27 made cash sales for the week totaling $4,230
30 Received payment from bullock co. for invoice no 373

31 paid semi- monthly salaries of $13,200 to employees

31 sold merchandise on account to Millam $9,330 invoice no. 374 terms 1/10 n/30

Boyden Company uses he following journals:

1. Sales journal

2. Single column purchases journal

3. cash receipts with Columns for cash Dr, sales discounts, Dr account receivable Cr, sales CR, others accounts Cr and cost of goods sold Dr, merchandise inventory Cr, cash payment journals with columns for others accounts Dr, accounts payable Dr. Merchandise Inventory Cr and cash Cr general journal

Instructions: using the selected accounts provided:

1 record the January transactions in the appropriated journal noted

2 foot and cross foot all special journals

3. Show how posting would be made placing ledger accounts numbers and checkmarks as needed in the Journals

SOLUTION PREVIEW

BOYDEN COMPANY Sales Journal
Date	Account Debited	Inv.No.	Terms	Amount	COGS Debit Inv. Credit
4-Jan	Milam	371	1/10, n/30	5,250	3,150
9-Jan	Connor Corp.	372	1/10, n/30	6,400	3,840
17-Jan	Bullock Co.	373	1/10, n/30	1,200	720

 

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