50.1K

Verified Solution

Link Copied!

Part 3: Special Journals (5 MARKS) Sur Company began operations in January and completed these transactions during the month. Jan. 1- Purchased for cash OMR 5,000 of merchandise inventory, FOB Shipping point from TRQ Merchandising Company Jan. 2 - Purchased on account OMR 8,000 of merchandise inventory, terms 2/15, n 45, FOB Destination from RST Trading Company. Jan. 5 - Sold for cash OMR 6,000 of merchandise inventory, FOB Shipping point with a cost of goods sold of OMR 3,000 to Bader Company Jan. 8 - Sold on account OMR 4,000 of merchandise inventory, terms 3/10, n 30, FOB Destination with a cost of goods sold of OMR 2,000 to Ali Company. Jan. 10- Sales returns of OMR 500 of merchandise sold to Ali Company because of defects. Jan. 11 - Purchase returns of OMR 400 of merchandise to RST Trading due to damages in shipment. Jan. 15 - Paid RST Trading for the purchases made on account. Jan. 18 - Received payment from customer Ali Company for sold goods on account. Jan. 25 - Acquired building OMR 40,000 by issuing notes. Jan. 30 - Paid the utility bill for OMR 300. Jan. 30 - Paid salaries and wages OMR 1,000 Required: a. Enter the following transactions in the special journals. b. What is the purpose of special journals? SPECIAL JOURNALS Sales Journal Date Customer Dr. Accounts Receivable Dr. Cost of Goods Sold Cr. Sales Cr. Merchandise Inventory Purchases Journal Date Vendor Dr. Merchandise Inventory Cr. Accounts Payable Cash Receipts Journal Date Account Dr. Cash Dr. Sales Discount Cr. Accounts Receivable Cr. Sales Dr. Cost of Goods Sold Cr. Merchandise Inventory Cash Disbursement Journal Date Account Dr. Accounts Payable Dr. Other Cr. Cash Cr. Merchandise Inventory (discount) General Journal Date Account Debit Credit

Answer & Explanation Solved by verified expert

See Answer