Selected transactions for Essex Company during July of the current year are listed in Problem 6-3B.

Selected transactions for Essex Company during July of the current year are listed in Problem 6-3B.

Instructions

Journalize the entries to record the transactions of Essex Company for July using the periodic inventory system.

Answer:

July 3 Purchases61,200

Freight In1,450

Accounts Payable—Hamling Co.62,650

[$72,000 – ($72,000 × 15%)]

5 Purchases33,450

Accounts Payable—Kester Co. 33,450

6 Accounts Receivable—Parsley Co. 36,000

Sales36,000

7 Accounts Payable—Kester Co. 6,850

Purchases Returns and Allowances6,850

13 Accounts Payable—Hamling Co. 62,650

Cash61,426

Purchases Discounts1,224

15 Accounts Payable—Kester Co. 26,600

Cash26,068

Purchases Discounts532

21 Cash36,000

Accounts Receivable—Parsley Co.36,000

21 Cash108,000

Sales108,000

22 Accounts Receivable—Tabor Co. 16,317

Sales16,317

[$16,650 – ($16,650 × 2%)]

23 Cash91,200

Sales91,200

28 Customer Refunds Payable 7,150

Cash7,150

31 Credit Card Expense1,650

Cash1,650