🏷️ LIMITED TIME OFFER: GET 20% OFF GRADE+ YEARLY SUBSCRIPTION →
Log in
Accounting
1
answer
0
watching
200
views

I need help with the Post References of the Sales and Cash Journal as well as posting them to the General ledger accounts in the End of Month Posting:

Now that you have finished recording all of the transactions for the month of June, you are ready to perform the end of month posting procedure. The purpose of this end of month posting is to transfer the totals from the special journals to the appropriate general ledger accounts so that the balances in those ledger accounts reflect all of the transactions that occurred throughout the period.

Instructions for end of month posting

1)Total the columns in the special journals. Record the amount in the Total row of each journal.

2)Post the totals of the columns in the special journals to their corresponding ledger account. To confirm that the posting has been performed, a posting reference is recorded in the last row of the special journals. If the total of a column is not required to be posted, you need to record an X in the post reference field for that column.

3)Record the final unadjusted balance of each ledger account in the Unadjusted Balance row of each ledger, even for ledgers with a balance of zero. Although each ledger already has a running balance, the Unadjusted Balance row must still be filled out in order to receive full points.

SALES JOURNAL

Date Account Invoice
No.		 Post
Ref.		 Accounts Receivable Sales Tax Sales Revenue Cost of Goods Sold  
Jun 6 ARC - Great Sports 362 110-3 5,712 272 5,440 2,880  
Jun 12 ARC - The Locker Room 363 110-6 21,147 1,007 20,140 9,820  
Jun 17 ARC - Mick's Sporting 364 110-5 20,202 962 19,240 10,560  
Jun 28 ARC - The Locker Room 365 110-6 1,197 57 1,140 600  
                   
Total ? ? ? ?  
Post Reference (?) (?) (?) (?) / (?)  

CASH PAYMENTS JOURNAL

Date Account Check
No.		 Post
Ref.		 Debit Credit  
Accounts Payable Merchandise Inventory Wages
Expense		 Other Accounts Cash  
Jun 3 Merchandise Inventory 731 X   3,520     3,520  
Jun 4 APC - Sport Borders 732 210-4 9,500       9,500  
Jun 5 Wages Payable 733 220     835 1,000 1,835  
Jun 6 APC - Addax Sports 734 210-2 5,400       5,400  
Jun 9 APC - Sports 'R Us 735 210-5 8,700       8,700  
Jun 12 Electricity Payable 736 221       1,420 1,420  
Jun 12 Wages Expense 737 X     2,384   2,384  
Jun 15 Prepaid Rent 738 140       2,000 2,000  
Jun 19 Wages Expense 739 X     1,695   1,695  
Jun 22 APC - Extreme Sports 740 210-3 49,313       49,313  
Jun 24 APC - J. J. Spud 741 210-1 10,215       10,215  
Jun 26 Wages Expense 742 X     2,320   2,320  
Jun 30 Merchandise Inventory 743 X   3,200     3,200  
Jun 30 Salary Expense 744 545       5,300 5,300  
                     
Total ? ? ? ? ?  
Post Reference (?) (?) (?) (?) (?)  

GENERAL LEDGER

Account: Cash
Account No. 100

Date Description Ref. Debit Credit Balance  
May 31 Balance       65,589 DR  
Jun 30             
Jun 30             
Jun 30             
Jun 30 Unadjusted Balance    

Account: ARC - Accounts Receivable Control
Account No. 110

Date Description Ref. Debit Credit Balance  
May 31 Balance       66,657 DR  
Jun 30              
Jun 30             
Jun 30             
Jun 30                   
Jun 30 Unadjusted Balance    

Account: Merchandise Inventory
Account No. 120

Date Description Ref. Debit Credit Balance  
May 31 Balance       66,640 DR  
Jun 21 Purchase return to Extreme Sports Inc GJ   320 66,320 DR  
Jun 30             
Jun 30            
Jun 30             
Jun 30              
Jun 30 Unadjusted Balance    

Account: APC - Accounts Payable Control
Account No. 210

Date Description Ref. Debit Credit Balance  
May 31 Balance       78,148 CR  
Jun 21 Purchase return to Extreme Sports Inc GJ 320   77,828 CR  
Jun 30              
Jun 30             
Jun 30         DRCR          
Jun 30             
Jun 30 Unadjusted Balance     

Account: Sales Tax Payable
Account No. 240

Date Description Ref. Debit Credit Balance  
May 31 Balance       14,073 CR  
Jun 30              
Jun 30             
Jun 30             
Jun 30             
Jun 30 Unadjusted Balance    

Account: Sales Revenue
Account No. 400

Date Description Ref. Debit Credit Balance  
May 31 Balance       0  
Jun 30              
Jun 30            
Jun 30              
Jun 30 Unadjusted Balance    

Account: Cost of Goods Sold
Account No. 500

Date Description Ref. Debit Credit Balance  
May 31 Balance       0  
Jun 30             
Jun 30             
Jun 30             
Jun 30 Unadjusted Balance    

Account: Wages Expense
Account No. 516

Date Description Ref. Debit Credit Balance  
May 31 Balance       0  
Jun 30              
Jun 30             
Jun 30                
Jun 30 Unadjusted Balance     

Watch
1
answer
0
watching
200
views

For unlimited access to Homework Help, a Homework+ subscription is required.

Vaishali Yadav
Vaishali YadavLv10
8 Jan 2021

Unlock all answers

Get 1 free homework help answer.
Already have an account? Log in
Share

Related questions

Now that you have reviewed information about Hi-Fi Way, you are ready to begin the first step in the accounting cycle, recording transactions. On this page of the practice set, you are asked to record transactions that occurred during the first week of June into the company's journals and post the appropriate entries to the ledger accounts. The following transactions occurred throughout the first week of June:

Week 1
Date Transaction description
1 Issued Check No. 570 for $8,400 to pay Realty Bites for two month's worth of rent in advance.
1 Obtained a loan of $59,000 from ZNZ Bank at a simple interest rate of 6% per year. The first interest payment is due at the end of August 2017 and the principal of the loan is to be repaid on June 1, 2021.
3 Made payment of $764 to Integer Energy for 3 months of electricity up to and including May 31, Check No. 571.
4 Turbo Tech paid the full amount owing on their account.
4 Paid sales staff wages of $13,224 for the week up to and including yesterday, Check No. 572. Note that $6,637 of this payment relates to the wages expense incurred during the last week of May.
5 Paid the full amount owing to Big Telco, Check No. 573.
7 Issued Check No. 574 to Office Supplies Warehouse for the purchase of $301 worth of office supplies.

After completing this practice set page, you should know how to record basic transactions in the journals provided below and understand the posting process in the manual accounting system. Note that you will record the remaining June transactions in the following sections of this practice set.

Remember, one purpose of using special journals is to make the posting process more efficient by posting the total of most columns in the special journals after all of the transactions for the period have been recorded. However, some parts of a journal entry are still required to be posted on a daily basis. View the company's accounting policies and procedures for details of what is to be posted daily or monthly.

Instructions for week 1

1)Record all week 1 transactions in the relevant journals.

Note that special journals must be used where applicable. Any transaction that cannot be recorded in a special journal should be recorded in the general journal.

2)Post entries recorded in the journals to the appropriate ledger accounts according to the company's accounting policies and procedures.

Note that the relevant totals of the special journals will be posted to the general ledger accounts at the end of the month. You will enter this before you prepare the Bank Reconciliation Statement.

Remember to enter all answers to the nearest whole dollar. When calculating a discount, if a discount is not a whole number, round the discount to the nearest whole dollar. Then, to calculate the cash amount, subtract the discount from the original amount.

Additional instructions

Displaying selected accounting records:

To save space, not all accounting records (e.g. journals and ledgers) will be displayed on every page. However, on each page you can access all accounting records necessary to answer the questions on that page.

There are several tabs representing different views of the accounting records. The active tab by default is Show All, but you may also select to view just one particular accounting record by selecting the appropriate tab.

If you fill in any accounting records and change the view on the page by selecting a different tab, the information that you have entered will remain in that accounting record and be displayed whenever you can see that accounting record.

Before submitting your answers, we recommend that you click the Show All tab and check that all relevant accounting records have been completed. You are required to complete all relevant accounting records before pressing the Submit answers button. Once submitted, you will not be able to return to the page to re-enter or alter your answers.

Journals:

Each transaction recorded in a special journal must be entered in one line. In order to receive full points, you must not split up the relevant transaction into more than one line in the special journal.

For certain transactions in special journals, some accounting textbooks do not always require an account to be chosen under the column labeled Account. In this practice set you arerequired to select an account for each transaction in the special journals. Specifically, in all special journals, under the column labeled Account, you must select the correct account name for each transaction in order to receive full points. Note that for some transactions, this will mean that the account name selected will correspond to the heading of one of the columns in that special journal.

For each journal, in the Post Ref. column you will need to correctly type the account number of the account you are posting to. In particular, in special journals, some accounting textbooks do not always require a reference to be recorded in the Post Ref. column. In this practice set, in order to receive full points, every transaction entered in a special journal requires an entry in the Post Ref. column. Note that in the special journals, if the account name selected for a transaction corresponds to the heading of one of the columns in that special journal, the post ref is to be recorded as an X. This is because these transactions are not posted on a daily basis. In order to receive full points, you must record only the letter Xin the Post Ref. column for these transactions.

Note that in special journals, the Other Accounts column should not be used to record movements of inventory.

There may be entries in the general journal that require posting to both a control account and a subsidiary ledger. In these cases, after you have posted to both ledgers, you should enter the reference for both the general ledger account and the subsidiary ledger account in the Post Ref. column to indicate that you have posted to both accounts. For example, if the reference number for the control account is 110 and the reference number for the subsidiary ledger account is 110-1, you should type '110/110-1' into the Post Ref. column.

General journal entries do NOT require a description of the journal entries.

Ledgers:

When posting a transaction to a ledger account, under the Description column, please type the description of the transaction directly into the field. The exact wording does not matterfor grading purposes. For example, it does not matter in an electricity transaction if you type 'Paid for electricity' or 'Paid electricity bill'.

For each ledger, under the Ref. column, you need to select the correct journal from a list in the drop-down box provided in order to receive full points.

If the balance of a ledger account is zero you do not need to select a debit or credit from the drop-down box.

Each transaction posted to the subsidiary ledgers must be entered in one line. In order to receive full points, you must not split up the relevant transaction into more than one line in the subsidiary ledger.

Both journals and ledgers:

Most journals and ledgers will have blank rows left at the end of the page.

Some journals and ledgers may not require any entries.

When purchases and sales are recorded in special journals, changes in inventory must not be posted to the Merchandise Inventory account in the general ledger on a daily basis.

Listed below are selected transactions completed by RidgeCompany during March of the current year.

Mar 5 Rendered services on account to Quinton Co., Invoice No.92, $3,250.

10 Rendered services on account to Martin Inc., Invoice No. 93,$4,500.

13 Received $5,000 in payment of monthly rent, which was due onMarch 1.

15 Received payment from Quinton Co. for invoice of March 5.

19 Received payment from Martin Inc. for balance due on invoiceof March 10.

20 Received amount due from Thomas Co. on sale made in February,$5,200.

31 Recorded cash from services rendered for cash during themonth, $15,750.

(a) Record the transactions, using the accompanying revenuejournal and cash receipts journal.

(b) Total and rule the revenue and cash receipts journals.

(c) Indicate the method of posting the individual items and thecolumnar totals of the revenue and cash receipts journals in thefollowing manner:

(1) For individual items and totals to be posted to thesubsidiary ledger or not to be posted, insert a check mark in thePosting Reference column or below the totals.

(2) For individual items and totals to be posted to the generalledger, insert the letter "G" (as a substitute for specific accountnumbers) in the Posting Reference column or below the totals.

Purchases and Cash Payments Journals; Accounts Payable Subsidiary and General Ledgers

AquaFresh Water Testing Service was established on April 16. AquaFresh uses field equipment and field supplies (chemicals and other supplies) to analyze water for unsafe contaminants in streams, lakes, and ponds. Transactions related to purchases and cash payments during the remainder of April are as follows:

April 16. Issued Check No. 1 in payment of rent for the remainder of April, $3,500.
April 16. Purchased field supplies on account from Hydro Supply Co., $5,340.
April 16. Purchased field equipment on account from Pure Equipment Co., $21,450.
April 17. Purchased office supplies on account from Best Office Supply Co., $510.
April 19. Issued Check No. 2 in payment of field supplies, $3,340, and office supplies, $400.
Post the journals to the accounts payable subsidiary ledger.
April 23. Purchased office supplies on account from Best Office Supply Co., $660.
April 23. Issued Check No. 3 to purchase land, $140,000.
April 24. Issued Check No. 4 to Hydro Supply Co. in payment of April 16 invoice, $5,340.
April 26. Issued Check No. 5 to Pure Equipment Co. in payment of April 16 invoice, $21,450.
Post the journals to the accounts payable subsidiary ledger.
April 30. Acquired land in exchange for field equipment having a cost of $12,000.
April 30. Purchased field supplies on account from Hydro Supply Co., $7,650.
April 30. Issued Check No. 6 to Best Office Supply Co. in payment of April 17 invoice, $510.
April 30. Purchased the following from Pure Equipment Co. on account: field supplies, $1,340, and field equipment, $4,700.
April 30. Issued Check No. 7 in payment of salaries, $29,400.
Post the journals to the accounts payable subsidiary ledger.

Required:

1. Journalize the transactions (in chronological order as presented in the data) for April. Use a purchases journal and a cash payments journal, and a two-column general journal. Use debit columns for Field Supplies, Office Supplies, and Other Accounts in the purchases journal. Refer to the following partial chart of accounts:

11 Cash 19 Land
14 Field Supplies 21 Accounts Payable
15 Office Supplies 61 Salary Expense
17 Field Equipment 71 Rent Expense

At the points indicated in the narrative of transactions, post to the following accounts in chronological order in the accounts payable subsidiary ledger:

Best Office Supply Co.
Hydro Supply Co.
Pure Equipment Co.

For those boxes in which no entry is required, leave the box blank. If no other account is needed in the "Other Accounts Dr." column select "No Entry Required".

PURCHASES JOURNAL PAGE 1
Date Account Credited Post. Ref. Accounts Payable Cr. Field Supplies Dr. Office Supplies Dr. Other Accounts
Dr.		 Post.
Ref.		 Amount
April 16 Hydro Supply Co. ? No Entry Required
April 16 Pure Equipment Co. ? Field Equipment
April 17 Best Office Supply Co. ? No Entry Required
April 23 Best Office Supply Co. ? No Entry Required
April 30 Hydro Supply Co. ? No Entry Required
April 30 Pure Equipment Co. ? Field Equipment
April 30
CASH PAYMENTS JOURNAL PAGE 1
Date Ck. No. Account Debited Post. Ref. Other Accounts
Dr.		 Accounts
Payable Dr.		 Cash Cr.
April 16 Rent Expense
April 19 Field Supplies
Office Supplies
April 23 Land
April 24 Hydro Supply Co. ?
April 26 Pure Equipment Co. ?
April 30 Best Office Supply Co. ?
April 30 Salary Expense
April 30 Total
JOURNAL PAGE 1
Date Description Post. Ref. Debit Credit
April 30 Land
Field Equipment

2. Post the individual entries in chronological order (Other Accounts columns of the purchases journal and the cash payments journal and both columns of the general journal) to the appropriate general ledger accounts. Post to the subsidiary ledger in chronological order. When posting to the general ledger, post in chronological order. However, if there is more than one entry on the same date, post transactions from the purchases journal first, then the cash payments journal before posting from the general journal.

3. Total each of the columns of the purchases journal and the cash payments journal, and post the appropriate totals to the general ledger.

For those boxes in which no entry is required, leave the box blank.

ACCOUNTS PAYABLE SUBSIDIARY LEDGER
Date Item Post. Ref. Debit Credit Balance
Account: Best Office Supply Co.
April 17
April 23
April 30
Account: Hydro Supply Co.
April 16
April 24
April 30
Account: Pure Equipment Co.
April 16
April 26
April 30


Post transactions in chronological order. However, if there is more that one transaction on the same date, post from the purchases journal first, then from the cash payments journal before posting from the general journal. (Because the problem does not include transactions related to cash receipts, the cash account in the ledger will have a credit balance.)

GENERAL LEDGER
Balance
Date Item Post. Ref. Debit Credit Dr. Cr.
Account: Cash #11
April 30
Account: Field Supplies #14
April 19
April 30
Account: Office Supplies #15
April 19
April 30
Account: Field Equipment #17
April 16
April 30
April 30
Account: Land #19
April 23
April 30
Account: Accounts Payable #21
April 30
April 30
Account: Salary Expense #61
April 30
Account: Rent Expense #71
April 16

4. Prepare a schedule of the accounts payable creditor balances.

AQUAFRESH WATER TESTING SERVICE
Accounts Payable Creditor Balances
April 30
Best Office Supply Co. $
Hydro Supply Co.
Pure Equipment Co.
Total accounts payable $

5. All are reasons why AquaFresh might consider using a subsidiary ledger for the field equipment EXCEPT:

To secure lower pricing on equipment purchases

Weekly leaderboard

Home
Homework Help 3,900,000
Accounting 580,000
Start filling in the gaps now
Log in