Are either of you still working on this? (I've been pretty busy and haven't been around much.) I did Google this. While there isn't apparently any place I can get to it for free, I do see that the authors are Warren Reeves Duchac, and I have their textbook around and am quite familiar with it.
So if nothing else, I know it's at least a U.S. thing, and also make a pretty good guess as to what journals are being used, and how to use them. So I can throw some concepts your way. Still up to you to decide where your entries go.
You should have 4 main special journals in addition to the general two-column journal. Guaranteed you'll have both a Cash Receipts Journal and a Cash Payments Journal. Those are pretty much what they sound like. The Cash Receipts Journal will be for ANY cash receipts that you have, regardless of what they are for. Likewise, the Cash Payments Journal is for any cash payments you make, regardless of what it's for. (Keep in mind, in this context, "cash" is actually your checking account.) So look for the existence of cash in the transaction first, and use one of those if it exists.
You also should have a Purchases Journal. That will be for any purchases on account. That is, where Accounts Payable is credited, regardless of what it's for. Notice no cash here -- this has to be Accounts Payable, but it doesn't matter what you're purchasing.
Then you'll have either a Sales Journal or a Revenue Journal, depending on what type of business it is. Fitness City doesn't sound like any merchandiser, so I'll assume Revenue Journal. That probably would be for one entry only: dr to A/R and cr to your main revenue (like fees earned). It probably only has one column, so just look at what's at the top of it and that's the entry it takes. In other words, revenue on account. (If you have a Sales Journal, that's for sales on account, same basic concept except it would have more columns.)
The general two-column journal is for anything that doesn't go anywhere else. It's also used for all adjusting and closing entries when you get to them. Some common things would be a credit to a customer, or returning some supplies that you purchased on account. Those are things that don't fit the special journals.
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