Originally Posted by
tiths
I need help for these journals. Please help me. I have to solve this journal in american accounting system.
Transactions for June 3 – 29, 2011
June 3 Sold a wet suit to a Jet Ski customer and received a check for $126.26. The check
covered the selling price of the wet suit ($118) plus 7% sales tax.
June 3 Issued check number 22097 for $900 to Sanders & Crichton for three months rent
on a small inventory storage facility for expanding business activity.
June 3 Discovered that an entry for $21.00 of poster printing charges had been entered in
error to the Miscellaneous Expense account rather than the Advertising Expense
Account. The date of the original entry is June 1.
June 3 Issued check number 22098 and replenished the Petty Cash fund. Holiday Jet Ski
maintains a $75 petty cash fund to handle small miscellaneous expenditures that
occur frequently during normal business operations. A total of $3.75 remains in the
petty cash box at this time. A summary receipts and invoices shows the following
expenditures have been made to date from Petty Cash:
Store & Shop Supplies Expense $43.00
Advertising Expense 11.75
Miscellaneous Expense 16.50
June 3 Billed the Round Hill Ski Club $675.50 plus sales tax for accessories installed (for
no charge) on their racing craft. Round all sales tax calculations to the nearest
cent. For example: $47.285 = $47.29
June 4 Issued check number 22099 for $1,260 as payment in full of the May 4 invoice
from Messlinger Sports Equipment.
June 4 Issued check number 22100 for $235 to A.C. Barkley, Attorney-at-law, for
professional services received.
June 5 Purchased Jet Ski accessories and parts from a new supplier Thunder Lake
Supply. Issued check 22101 for $1,366 as payment in full. The goods were
FOB destination.
June 5 Aaron Larson withdrew $100 from the business for personal use (check #22102)
June 5 Purchased Jet Skis for inventory from Kawasaki, USA. The purchase price for the
merchandise totaled $41,450. The terms of the purchase are 2/10, n30 and the
goods were shipped FOB Destination.
June 5 Completed service work on a customer Jet Ski and received a check for the
balance due. Sales invoice lists $112 for two hours of labor, $423 for parts and
accessories, and 7% sales tax.
June 6 Sold for cash two Jet Skis to a cash customer for $5,975 each plus sales tax.
June 6 Received $76.50 cash from customer Beverly Kyle as payment in full on her
account.
June 6 Issued check number 22103 for $45.75 as payment in full of the Less Incorporated
invoice of May 27.
June 7 Purchased $2,212 in parts and merchandise accessories from Tumbleweed Sports.
The credit terms are 1/10, n30 and the goods are shipped FOB Shipping point via
a separate logistic company. The transportation costs will be paid later upon
receipt of the invoice.
June 7 Purchased store and shop supplies on account from Albright Supply for $97.55.
The credit term is net 10 days.
June 8 Received a check for $420 from the Browns Ravine Jet Skiers for storage fees on
their watercraft. This check prepays their storage fees for June, July and August.
June 8 Received $200 cash as a partial payment on the past-due account of customer
Alice Berry.
June 10 Sold a 3-passenger Kawasaki Jet Ski to customer Emma Larson for $7,100 plus
sales tax. (don’t forget to include the sales tax) Ms. Larson paid $900 cash as a down payment and charged the balance to her account. The account will be paid
in full in 30 days.
June 10 Received a check for $4,212.71 from the Western National Credit Card Company
as payment in full on credit card invoices that had been received through June 2
and mailed on June 4. The invoices totaled $4,343 and the credit card company
charged a 3% fee for the use of their system.
June 10 Sold three (3) Kawasaki Jet Ski to Suzanne Fujico for cash. The two Jet Skis - A
sell for $4,750 each and the T145G model sells for $5,500 with added accessories.
Sales taxes were charged for the sales. (sales taxes not included yet)
June 10 Purchased three (3) Hero Jet Skis from Springview, Incorporated. The list price
of the jets is $3,575 each with a trade discount of 28%. The credit terms are n/30
and the merchandise is shipped FOB Destination.
June 11 Issued check #22104 for $124.55 to Rambis Freight for transportation fees on
the June 7 purchase from Tumbleweed Sports.
June 11 Purchased three (3) Shark personal watercraft for inventory from Yancy Sprintcraft.
Purchase price for the merchandise totaled $18,600 and the entire amount was
charged to the Holiday Jet Ski account. The credit terms offered by Yancy are
1/10, n30 and the goods are shipped FOB shipping point. A separate billing for
freight charges of $414 has also been received from Less, Inc., a local freight
carrier. Terms from Less Inc. are net 10. (Two journal entries are required.)
June 12 Issued check #22105 to Albright Supply for the $721.25 due today. Terms from
Albright Supply are net 10.
June 12 Sold four Kawasaki Super Jet Skis and miscellaneous accessories and parts to
the Browns Ravine Jet Skiers for $27,245 plus sales tax. The Browns Ravine Jet
Skiers paid $5,000 in cash and charged the balance on their account.
June 13 Issued debit memorandum #DM004 to Yancy Sprintcraft for $6,200 and returned
one Yancy Shark personal watercraft. The hull of this watercraft arrived with serious
damage that will require major repair or replacement at the factory. The purchase
was made on June 11.
June 13 Sold a Sprintcraft Jet Ski trailer to John Brandon for $795 cash plus sales tax.
Mr. Brandon paid for his purchase by using a Bank Credit Card. The bank charged
Holiday Jet Ski a 2% credit card fee.
June 14 Received a check for $20,163 from customer Charles Montero as payment in full
on his account. The payment was for the May 15 transaction.
June 14 Issued check #22106 for $37.50 to the U.S. Postal Service for stamps and other
store supplies.
June 14 Purchased $402.25 in store supplies from Albright Supply and charged the total to
the business account. Credit terms are net 10.
June 14 Issued check #22107 for $52.44 for the purchase of miscellaneous tools to be used
in the service shop.
June 14 Purchased shop supplies from Sons & Sons Supply and issued check #22108
for $176.56 as payment in full.
June 15 Issued check #22109 in payment to Kawasaki, USA for the June 5 purchases.
June 15 Issued check #22110 John Douglas, the part-time repair and sales person for the
business. John is paid $9.65 per hour and worked 44.75 hours during the past
two-week period ended June 14.
June 15 Issued debit memorandum #DM005 to Albright Supply for $35.50 as the returned of
store supplies which was purchased on account on June 14.
June 15 Issued check #22111 to AT&T Phone Company for $53.74. The check is paid in
full for Aaron Larson's personal home phone bill. No business calls were made this
month on his home phone.
June 15 Received a check for $223.50 from Alice Berry as payment in full on her past due
account.
June 15 Borrowed $18,500 cash from the First National Bank by issuing a short term,
60-day note payable.
