ACU 7 - UNIT 7 ACCOUNTING SYSTEMS Accounting Systems are...

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Unformatted text preview: UNIT 7 ACCOUNTING SYSTEMS Accounting Systems are designed to eliminate much of the duplication involved in a manual accounting system. Using carbonized receipts, special journals as shown here, and ledger cards allow for much of the accounting work to be accomplished as receipts are processed and checks written. Special journals are important because they provide the basis for computerized accounting systems. Free Business Textbooks Library covers many subjects. Special Journal: Purchases Journal is used for Credit Purchases Sales Journal is for Credit Sales Cash Payments Journal is used when Cash is Credited Cash Receipts Journal is used when Cash is Debited Note: Only credit purchases are allowed in the Purchase Journal. JOURNAL Note: The following transactions were originally recorded in the General Journal on page 30. In this section, when possible, they have been recorded in special journals. The abbreviation of the journal used follows each transaction. 1/3 1/7 1/11 1/12 1/14 1/18 1/24 Purchased merchandise for $4,000 on credit from L. Company, invoice dated 1/1, terms 2/10,n30. PJ Return $500 of defective merchandise purchased 1/1 from L. Company. GJ Paid L. Company for purchases of 1/1 less return and discount. CPJ DA'IE Recorded Cash Sales of $2,000. CRJ 1/3 Sold $5,000 of merchandise to M. company termS 2/10,n30. SJ 2/2 M. Company returned $100 of merchandise purchased 1/14. GJ M. Company paid for sale of 1/14 less return and discount. CRJ CASH PA"2MENTS JOURNAL PURCHASES Page 1 POST REF. ,/ ./ ACCOUNT L. Company Z. Company 'IERMS 2/10,n30 1/10,n30 AMOUNT 4,000 7,960 (51) (31) Page 1 DEBITS I DATE I EXPLANATIOO 1/11 2/28 2/28 3/5 I Paid Paid Paid Paid L. Co. Z. Co. Trans. Travel - In II I'RRTl TS PURCHASE POST ./ ./ ACCOUNTS CASH DISCOUNTS REF. 1 2 3 4 3,430 4,000 50 --ZQQ 7,680 (1) PAYABLE 3,500 3,960 PURCHASES TRAVEL EXPENSE OTHER DEBITS Purchase Discount Lost Trans. In REF. POST AMOUNT I 70 I 70 55 I 40 50 90 I 70 (53) I 7,460 (31) 2QQ. 200 (68) Note: When posting, place the number of the ledger account below the amount posted. A check (./) should be placed in the Post Reference Column to indicate posting to a Subsidiary Ledger. GENERAL LEDGER CASH Bal. 15,122 (1) 7.680 ACCOUNTS RECEIVABLE I (3) PURCHASES f.5.1l 11,000 22.802 I 10,900 --1.Q.Q. 7,960 PURCHASE I RETURNS (52) I 500 ACCOUNTS RECEIVABLE SUBSIDIARY LEDGER PURCHASE PIi~ M CO!!1PaIl¥ A CO!!1Pany I {531 6.000 It~gg 6.000 5,000 I TRANS~iArCN-TN (0<1 TRAVEL EXPENSES (68) Free Quick Notes Books provide help for accounting, economics, statistics, and basic mathematics. Professional Development Resources Center has material to enhance your career. 200 I PURCHASE DISCOUNT 40 I LOST (70) 36 2/2 Purchase $4,000of merchandise from Z. Company,terms 1/10,n30 Net Method 2/28 Paid Z. Company for purchase of 2/2 plus purchase discount lost. CPJ 2/28 Paid transportation charges of $50 for merchandise purchased 10/2. CPJ Addi tiona.1 Transactions - used.PJ 3/1 3/2 3/5 3/30 Signed a $10,000 Note Payable with First Bank Corporation, cash deposited today. CRJ Sold $6,000 of merchandise to A. Company terms 2/10,n30. SJ Paid Travel Expense of $200. CPJ A. Company paid today. CRJ Note: The General Journal is used for Note: Only Credit Sales are allowed in the Sales Journal. entries that do not easily fit into special journal. Also included are Adjusting, Closing, Reversing, and Correcting Entries. a I SALES JOURNAL Page1 POST REF. J' J' DATE AMOUNT 5,000 11,000 (3) (41) 1/7 1/18 GENERAL JOURNAL Page1 PR DR 500 500 100 100 CR DATE 1/14 3/2 ACCOUNT M. Conpany A. Company INVOICE NUMBER 1 2 EXPLANATION Accounts Payable Purchase Returns - L. Co. 31 52 42 3 Sales Returns Accounts Receivable M. Co. - CASH RECEIPTS JOURNAL ('R1<TIIT Page 1 CASH SALES 2,000 OTHER I POST CREDITS REF. 1/12 1/24 3/1 3/30 I DEBT'i' EXPLANATION I CASH 2,000 4,802 10,000 22,802 (1) SALES DISCOUNTS 98 98 (43) POST REF. J' J' I ACCOUNTS RECEIVABLE 4,900 I i I AMOUNT Weekly Sales M. Company Signed Note A. Company ....hQ.QQ 10,900 (3) 2,000 (40) Notes Payable I 32 I 10,000 10,000 I (32) i CASH SALES (40) I 2,000 (41) Darin I s Music Emporium ACCOUNTS PAYABLE 7,460 I 7,960 ~ ~ Bal. -0NOTES PAYABLE I (31) CREDIT SALES Trial Balance March 31, 1996 I 11,000 Cash $ 15,122 7,960 $ 500 70 (32) SALES RETURNS AND ALLOWANCES (42) 100 Purchases Purchase Returns Purchase Discounts 10,000 I f.Ul ACCOCINTS PAYABLE SUBSIDIARY LEDGER L. CO\1:Pany Z. Corqpany =~ir 50 200 Purchase Discount Lost 40 Notes Payable Cash Sales Credit Sales Sales Returns and 100 Allowances Sales Discounts ~ ~5JQ Transportation-In TravelExpense 10,000 2,000 11,000 ~570 ~ 4.000 I 4,000 3.960 I 3.960 Business Software Library has free accounting, mathematics and statistics software. Software Tutorial Internet Library has has material to help with many popular software programs. Our 28 Free Internet Libraries have academic and career materials for students, teachers, and professional. 31 Our Professional Development Resources Center has material to enhance your career. ...
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