Cash Receipt and Cash Payments Journals

P1. Kimball Company is a small retail business that uses a manual data processing system similar to the one described in the chapter. Among its special-purpose journals are mul- ticolumn cash receipts and cash payments journals. The cash transactions for Kimball Company during the month of November follow.

 

Nov.   1      Paid November rent to R. Carello, $1,000, with check no.  782.

3           Paid Stavos Wholesale on account, $2,300 less a 2 percent discount, check no. 783.

4           Received payment on account of $1,000, within the 2 percent discount period, from J. Walker.

5           Cash sales, $2,632.

8           Paid Moving Freight on account, $598, with check no. 784.

9           The owner, Fred Kimball, invested an additional $10,000 in cash and a truck valued at $14,000 in the business.

11       Paid Escobedo Supply on account, $284, with check no. 785.

14          Cash sales, $2,834.

15          Paid Moving Freight $310 for the freight on a shipment of merchandise received today, with check no. 786.

16          Paid Ludman Company on account, $1,600 less a 2 percent discount, with check no. 787.

17          Received payment on account from P. Sivula, $120.

18          Cash sales, $1,974.

19          Received payment on a note receivable, $1,800 plus $36 interest.

20          Purchased office supplies from Escobedo Supply, $108, with check no. 788.

 

 

 

Chapter Assignments                                                                                                                                           261

 

Nov. 21      Paid a note payable in full to Kenington Bank, $4,100 including $100 interest, with check no. 789.

24           Cash sales, $2,964.

25           Paid $500 less a 2 percent discount to Stavos Wholesale, with check no. 790.

26           Paid sales clerk Tracy Dye $1,100 for her monthly salary, with check no. 791.

27           Purchased equipment from Standard Corporation for $16,000, paying

$4,000 with check no. 792 and signing a note payable for the difference.

30       Fred Kimball withdrew $1,200 from the business, using check no. 793.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

REqUIRED

1.    Enter these transactions in the cash receipts and cash payments journals.

2.    Foot and crossfoot the journals.

3.    aCCounting ConneCtion ▶ If a manager wanted to know the total sales for the accounting period, where else would the manager need to refer to obtain the data needed?