May 14. The coal given to charity is a personal expense of Baldwin’s.
May 31. Record the purchase of lot and building as a credit for the entire amount to the vendor. Cancel the liability to the vendor by entry in the cash book for the cash portion, and in the general journal for the mortgage.
XXVI
Balance the cash book, total, and make summary entries for the sales and purchase journals.
Post completely the sales and purchase journals, then the general journal and cash book. Be sure to post the weekly totals of cash receipts and cash disbursements as well as the totals for the end of the month.
Take a trial balance of account balances and record it on page 13 of your journals, labeling it
“Trial Balance, May 31, 19—, Wm. C. Baldwin.”
Instructions
Refer to pages [142], [148], [149], for the form of the various journal summaries and to [547-548], practice data, for the method of summarizing.
Be very careful always to cross-index every posted item in both ledger and journals just as soon as the posting of that item is completed. The ledger folio columns in the journals are thus an indication as to how far the work of posting has proceeded, in case the bookkeeper is interrupted before completing the postings.