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Revenue and cash receipts journals; accounts receivable subsidiary and general ledgers

Transactions related to revenue and cash receipts completed by Crowne Business Services Co. during the period April 2–30 are as follows:

Apr. 2.		Issued Invoice No. 793 to Ohr Co., $4,680.
Apr. 5.		Received cash from Mendez Co. for the balance owed on its account.
Apr. 6.		Issued Invoice No. 794 to Pinecrest Co., $1,990.
Apr. 13.		Issued Invoice No. 795 to Shilo Co., $3,450.
		Post revenue and collections to the accounts receivable subsidiary ledger.
Apr. 15.		Received cash from Pinecrest Co. for the balance owed on April 1.
Apr. 16.		Issued Invoice No. 796 to Pinecrest Co., $5,500. Post revenue and collections to the accounts receivable subsidiary ledger.
Apr. 19.		Received cash from Ohr Co. for the balance due on invoice of April 2.
Apr. 20.		Received cash from Pinecrest Co. for balance due on invoice of April 6.
Apr. 22.		Issued Invoice No. 797 to Mendez Co., $7,470.
Apr. 25.		Received $3,200 note receivable in partial settlement of the balance due on the Shilo Co. account.
Apr. 30.		Received cash from fees earned, $12,890. Post revenue and collections to the accounts receivable subsidiary ledger.

 

1.  Insert the following balances in the general ledger as of April 1:

11	Cash	$11,350
12	Accounts Receivable	14,830
14	Notes Receivable	6,000
41	Fees Earned	-

After completing the recording of the transactions in the journals in part 3, total each of the columns of the special journals, and post the individual entries and totals to the general ledger. Insert account balances after the last posting. When posting to the general ledger, post in chronological order. However, if there is more than one entry on the same date, be sure to post transactions from the revenue journal before posting transactions from the cash receipts journal.

If an amount box does not require an entry, leave it blank. In CNOW, Journal pages begin with “J”, Cash Receipts begin with “CR” and Cash Receipts begins with “R”. For example journal/ Cash Receipts/ Cash Receipts, page 1/36/40 respectively. POST. REF. is simply J1, CR36, and R40.

Insert the following balances in the accounts receivable subsidiary ledger as of April 1:

Mendez Co.	$8,710
Ohr Co.	-
Pinecrest Co.	6,120
Shilo Co.	-

After completing the recording of the transactions in the journals in part 3, post to the accounts receivable subsidiary ledger, in chronological order and insert the balances at the points indicated in the narrative of transactions. Determine the balance in the customer's account before recording a cash receipt. If an amount box does not require an entry, leave it blank. In CNOW, Journal pages begin with “J”, Cash Receipts begin with “CR” and Cash Receipts begins with “R”. For example journal/ Cash Receipts/ Cash Receipts, page 1/36/40 respectively. POST. REF. is simply J1, CR36, and R40.

Prepare a single-column revenue journal and a cash receipts journal. Use the following column headings for the cash receipts journal: Fees Earned Cr., Accounts Receivable Cr., and Cash Dr. The Fees Earned column is used to record cash fees.

Using the two special journals and the two-column general journal, journalize the transactions for April. Post to the accounts receivable subsidiary ledger, and insert the balances at the points indicated in the narrative of transactions. Determine the balance in the customer’s account before recording a cash receipt.

Total each of the columns of the special journals and post the individual entries and totals to the general ledger. Insert account balances after the last posting.

If an amount box does not require an entry, leave it blank.

What is the sum of the customer balances?

 

GENERAL LEDGER Date Item \( \begin{array}{cccc}\text { Post. } & \text { Pef. } & \text { Debit } & \text { Credit }\end{array} \) Account: Cash \# 11 Account: Accounts Receivable \# 12 Account: Notes Receivable \# 14 Apr. 1 Balance Account: Fees Earned \# 41 ACCOUNTS RECEIVABLE SUBSIDIARY LEDGER \begin{tabular}{|ccc} \hline Date & Item & Post. \\ Account: Mendez Co. & Ref. \\ Apr. 1 & Balancedit \end{tabular} Account: Ohr Co. Account: Pinecrest Co. Apr. 1 Account: Shilo Co. REVENUE JOURNAL PAGE 40 \begin{tabular}{|cccc|} \hline & JOURNAL & PAGE 1 \\ \hline Date & Description & Post. Ref. & Debit \\ \hline \end{tabular}