Required: Using the following information for Baker
Company, journalize each of the transactions in the appropriate journal. Upon completion, total each journal and make
sure each is in balance.
(NOTE: All sales are made
with the terms of 1/10, N/30, and Baker’s cost of all merchandise sold was 65%
of the sales price.)
Jan. 1 Purchased merchandise on
account from Bell Co., $8,900, terms 2/10, N/30.
Jan. 4 Purchased supplies for cash,
$80.
Jan. 4 Sold merchandise on account
to Gilbert, $7,500, invoice #371.
Jan. 5 Issued a debit memorandum to
Bell Co. and returned $300 worth of damaged goods.
Jan. 6 Made cash sales for the week
totaling $3,100.
Jan. 8 Purchased merchandise on
account from Law Co., $4,500, terms 2/15, N/30.
Jan. 9 Sold merchandise on account to
Mays Co., $5,600, invoice #372.
Jan. 11 Purchased merchandise on
account from Hatch Co., $2,700, terms 2/10, N/30.
Jan. 11 Paid in full the Bell Co. on
account less a 2% discount.
Jan. 13 Made cash sales for the week
totaling $5,300.
Jan. 15 Received payment from Mays
Co. for invoice #372, less allowable discount.
Jan. 17 Received payment from
Gilbert for invoice #371, less allowable discount.
Jan. 17 Sold merchandise on account
to Amber Co., $1,100, invoice #373.
Jan. 19 Purchased equipment on account
from Johnson Co., $5,500, terms 2/10, N/30.
Jan. 20 Cash sales for the week
totaled $3,200.
Jan. 20 Paid in full the Law Co. on
account less a 2% discount.
Jan. 23 Purchased merchandise on
account from Bell Co., $7,800, terms 2/10, N/30.
Jan. 24 Purchased merchandise on
account from Levine Co., $4,690, terms 2/10, N/30.
Jan. 27 Made cash sales for the week
totaling $3,700.
Jan. 30 Received payment from Amber
Co. for invoice #373, less allowable discount.
Jan. 31 Paid monthly salaries of
$13,000 to employees.
Jan. 31 Sold merchandise on account
to Gilbert, $7,300, invoice #374.
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