- Purchases:
- American Dry Goods Co., 2/10, 1/30, n/60, $13,487.92.
- Associated Dry Goods Co., 2/10, n/60, $13,562.70.
- Claflins, Inc., 2/10, 1/30, n/60, $10,897.80.
- U. S. Dry Goods Co., 3/10, 2/15, n/60, $12,247.80.
- Marshall Field & Co., 3/10, 2/15, n/60, $17,792.90.
- Cash purchases $2,987.50.
- Sales:
- Arnold Sheriff & Co., 2/10, 1/15, n/30, $5,287.45.
- Atlas Dry Goods Co., 2/10, n/30, $5,794.32.
- Baird Dry Goods Co., 2/10, 1/15, n/30, $4,618.73.
- Burrows Dry Goods Co., 2/10, n/30, $3,289.49.
- Bostonian Dry Goods Co., 2/10, 1/15, n/30, $6,642.
- Century Dress Goods Co., 2/10, n/30, $4,497.35.
- Eagle Dress Goods Co., 2/10, n/30, $4,127.49.
- Emporium Dry Goods Co., 2/10, n/30, $4,793.80.
- Henry Miller, 2/10, n/30, $5,008.34.
- Melrose Dry Goods Co., 2/10, 1/15, n/30, $4,278.18
- New York Silk Co., 2/10, 1/15, n/30, $3,874.70.
- Southern Dry Goods Co., 2/10, n/30, $5,087.92.
- Public Bargain Store, 2/10, n/30, $4,972.
- Cash sales $2,989.90.
- Cotten took woolens, February 28, $50.
- Journal:
- Goods were returned by Century Dress Goods Co. $340, and
- Southern Dry Goods Co. $845, as unsatisfactory.
- Made Public Bargain Store an allowance of $85.
- Analysis of the January freight bill showed that $147.60
- was paid for freight on sales.
- Returns to American Dry Goods Co. $978.
- Cash Receipts:
- Baird Dry Goods Co., January bill $4,872.35 less 2%.
- Burrows Dry Goods Co., December bill $1,000 on account.
- Childs & Son January bill $4,794.12 less 1%.
- Daniel & Co., January bill $4,683.38 net.
- Eagle Dress Goods Co., January bill $5,978.35 net.
- Emporium Dry Goods Co., $1,000 on account.
- Arnold Sheriff & Co., February bill $5,287.45 less 2%.
- Atlas Dry Goods Co., February bill $5,794.32 less 2%.
- Bostonian Dry Goods Co., February bill $6,642 less 2%.
- Century Dress Goods Co., balance February bill $4,157.35 less 2%.
- Henry Miller, February bill $5,008.34 less 2%.
- Public Bargain Store, balance February bill $4,887 net.
- Cash was over $1.21.
- The note of Baird Dry Goods Co. for $1,500 was paid February 1
- with interest, amounting to $15.
- The note of Childs & Son was paid, $1,000.
- Sold miscellaneous ends, $48.50.
- Cash Disbursements:
- Bentley, Gray & Co., January bill $5,694 less 2%.
- Claflins, Inc., January bill $12,639 less 2%.
- Miller & Rhoades, Inc., December bill $5,672 net.
- Wm. Taylor, Son & Co., January bill $1,897.42 less 2%.
- Salesmen’s salaries $2,000.
- Salesmen’s railroad fares, hotel bills, etc., $1,013.48.
- Chauffeurs’ wages $240.
- Garage rent $125.
- Shipping clerks $210.
- Gasoline and oil $75.60.
- Fine for stopping car in front of hydrant $10.
- Paper, wrapping supplies, crates, $308.30.
- Wooster withdrew $500 February 15.
- Advertising as per schedule $3,000.
- Freight and haulage bills $257.80.
- Rent for March $1,250.
- Lighting and heating bills $497.58.
- Office manager’s and clerks’ salaries $998.
- Stationery, mimeograph supplies, etc., $214.40.
- Wages of cleaners, watchman, repairs to windows
- and new steps at door, $874.50.
- Telephone and telegraph $175.80.
- Messengers $128.
- Bought five $1,000 U. S. Liberty bonds at 95½, with
- accrued interest of $59.88.
- Cotten drew $400; Wooster $500.
- U. S. Dry Goods Co., February bill $12,247.80 less 3%.
Notice has been received that a receiver has been appointed for Wilson Williams Co.
Instructions
In making general journal entries affecting customers’ or creditors’ accounts, be sure to indicate the posting to the corresponding controlling accounts.
At the time the freight bills are paid, the total amount is charged to In-Freight and Cartage. They are analyzed later into freight paid on sales and in-freight, and the amount paid on sales is transferred to the proper account by means of a journal entry.
Record the sale of miscellaneous ends and the like in the cash receipts journal and post to Miscellaneous Sales.
Charge the $10 fine to Delivery Expense.
Be careful to charge the accrued interest on Liberty bonds to the proper account.
VI
Summarize the special journals. In summarizing the cash receipts journal for February and the following months, do not underline the totals of the General and Net Cash columns, as instructed in [Assignment IV]. Deduct the balance as of the first of the month from the totals shown in both columns, indicating, in the explanation column, the nature of this amount. ([See page 282 for illustration].) Underline these amounts and write the summary entry for the cash receipts journal as previously explained, taking care that the Cash account is debited only with the receipts of the current month.