GENERAL JOURNAL

DATE ACCOUNT TITLE & EXPLAINATION POST. REF. DEBIT

2017
March 1 Cash 48,000.00
RC, Capital
Initial investment

2 Equipment 28,000.00
Accounts Payable
Purchase equipment on account

4 Merchandise Inventory 60,000.00

Accounts Payable
Purchase merhandise on account, Terms: 2/10, n30,
FOB Shipping Point

10 Merchandise Inventory 2,000.00

Cash
Paid freight on purchases

13 Accounts Payable 7,000.00

Merchandise Inventory
Returned damaged goods

16 Accounts Receivable 21,000.00

Sales
Sales on account, Terms: 1/10, n30

Cost of Goods Sold 15,000.00

Merchandise Inventory
Cost of merchandise sold

20 Supplies 4,000.00
Cash
Purchase supplies on cash

22 Accounts Payable 53,000.00

Merchandise Inventory
Cash
Fullpayment to ABC Company

28 Sales Returns and Allowances 2,000.00

Accounts Receivable
Issued credit memo for merchandise returned
 Page 1
CREDIT

48,000.00

28,000.00

60,000.00

2,000.00

7,000.00

21,000.00

15,000.00

4,000.00

1,060.00
51,940.00

2,000.00
 GENERAL LEDGER

ACCOUNT NAME.: _____Cash______ ACCOUNT NO.: ____101_

POST. BALANCE
DATE DESCRIPTION DEBIT CREDIT
REF. DEBIT
2017
Dec. 1 GJ1 10,000.00 10,000.00
RAL LEDGER

ACCOUNT NO.: ____101____

BALANCE
CREDIT
 GENERAL LEDGER

ACCOUNT NAME.: _____Mr. Gray, Capital______ ACCOUNT NO.: ____301__

POST. BALANCE
DATE DESCRIPTION DEBIT CREDIT
REF. DEBIT
2017
Dec. 1 GJ1 10,000.00
OUNT NO.: ____301____
BALANCE
CREDIT

10,000.00
 On March 1, 2017, Millenial Enterprise started its operation. The chart of accounts is
as follows and the journal entries for the month of March are given on the succeeding page

Millennial Enterprise
Chart of Accounts
Account Name Account No.
Cash 120
Accounts Receivable 121
Supplies 123
Equipment 125
Accumulated Depreciation-equipment 126
Merchandise Inventory 135
Accounts Payable 140
Sales 151
Sales Returns and Allowances 152
Sales Discounts 153
Cost of Goods Sold 160
RC, Drawings 180
RC, Capital 181
Utility Expense 190
Depreciation Expense 195
Millenial Enterprise started its operation. The chart of accounts is
l entries for the month of March are given on the succeeding pages:

Chart of Accounts
Account Type
Asset
Asset
Asset
Asset
Asset
Asset
Liabillity
Revenue
contra-Revenue
contra-Revenue
Expense
Owner's Equity
Owner's Equity
Expense
Expense
 GENERAL JOURNAL
DATE ACCOUNT TITLE & EXPLAINATION POST. REF. DEBIT
2015
September 1 Accounts Recevable 4,200.00
Product Sales Revenue
Sales on account

1 Accounts Recevable 5,800.00

Product Sales Revenue
Sales on account

2 Cost of Goods Sold 10,000.00

Merchandise Inventory
Cost of merchandise sold

3 Supplies Inventory 1,180.00

Accounts Payable
Purchase supplies on account

5 Cash on Hand 4,200.00

Accounts Recevable
Received payment from customer

5 Accounts Payable 1,180.00

Cash on Hand
Fullpayment of account

6 Cash on Hand 5,800.00

Accounts Recevable
Received payment from customer

6 Cash on Hand 1,250.00

Product Sales Revenue
Cash sales

7 Supplies Expense 820.00

Supplies Inventory
Supplies used

7 Accounts Recevable 1,850.00

Product Sales Revenue
Sales on account
 Page 1
CREDIT

4,200.00

5,800.00

10,000.00

1,180.00

4,200.00

1,180.00

5,800.00

1,250.00

820.00

1,850.00
 GENERAL JOURNAL
DATE ACCOUNT TITLE & EXPLAINATION POST. REF. DEBIT
2017
March 1 Cash 48,000.00
RC, Capital
Initial investment

2 Equipment 28,000.00
Accounts Payable
Purchase equipment on account

4 Merchandise Inventory 60,000.00

Accounts Payable
Purchase merhandise on account, Terms: 2/10, n30,
FOB Shipping Point

5 Merchandise Inventory 2,000.00

Cash
Paid freight on purchases

5 Accounts Payable 7,000.00

Merchandise Inventory
Returned damaged goods

6 Accounts Receivable 21,000.00

Sales
Sales on account, Terms: 1/10, n30

Cost of Goods Sold 15,000.00

Merchandise Inventory
Cost of merchandise sold

10 Supplies 4,000.00
Cash
Purchase supplies on cash

14 Accounts Payable 53,000.00

Merchandise Inventory
Cash
Fullpayment to ABC Company

15 Sales Returns and Allowances 2,000.00

Accounts Receivable
Issued credit memo for merchandise returned

Cost of Goods Sold 1,000.00

Merchandise Inventory
Cost of merchandise sold

16 Cash 18,810.00
Sales Discounts 190.00
Accounts Receivable
Received payment from Harvey Enterprise

18 Merchandise Inventory 6,000.00

 Cash
Purchases on cash

22 Accounts Receivable 28,000.00

Sales
Sales on account, Terms: 1/10, n30

Cost of Goods Sold 20,000.00

Merchandise Inventory
Cost of merchandise sold

25 RC, Drawings 1,500.00

Cash
Owner's withdrawal

28 Utility Expense 500.00

Cash
Paid uitlity bill

30 Depreciation Expense 300.00

Accumulated Depreciation-Equipment
Depreciation of equipment
 Page 1
CREDIT

48,000.00

28,000.00

60,000.00

2,000.00

7,000.00

21,000.00

15,000.00

4,000.00

1,060.00
51,940.00

2,000.00

1,000.00

19,000.00
 6,000.00

28,000.00

20,000.00

1,500.00

500.00

300.00
 GENERAL LEDGER

ACCOUNT NAME.: _____Mr. Gray, Capital______ ACCOUNT NO.: ____301__

POST. BALANCE
DATE DESCRIPTION DEBIT CREDIT
REF. DEBIT
OUNT NO.: ____301____
BALANCE
CREDIT