Examlex

Solved

Horton Company Uses Four Special Journals, (Cash Receipts, Cash Payments

question 5

Essay

Horton Company uses four special journals, (cash receipts, cash payments, sales, and purchases journal) in addition to a general journal. On November 1, 2018, the control accounts in the general ledger had the following balances: Cash $12,000, Accounts Receivable $200,000 and Accounts Payable $42,000. Selected information on the final line of the special journals for the month of November is presented below: Horton Company uses four special journals, (cash receipts, cash payments, sales, and purchases journal) in addition to a general journal. On November 1, 2018, the control accounts in the general ledger had the following balances: Cash $12,000, Accounts Receivable $200,000 and Accounts Payable $42,000. Selected information on the final line of the special journals for the month of November is presented below:   Additional Data: The Sales Journal total was $41,000. A customer returned merchandise for credit for $360 and Norton Company returned store supplies to a supplier for credit for $400. Instructions (a) Determine the missing amounts in the special journals. (b) Determine the balances in the general ledger accounts (Cash, Accounts Receivable, and Accounts Payable) at the end of November. Additional Data:
The Sales Journal total was $41,000. A customer returned merchandise for credit for $360 and Norton Company returned store supplies to a supplier for credit for $400.
Instructions
(a) Determine the missing amounts in the special journals.
(b) Determine the balances in the general ledger accounts (Cash, Accounts Receivable, and Accounts Payable) at the end of November.


Definitions:

Common Stock

A type of equity security that represents ownership in a corporation, with rights to vote on corporate policy and receive dividends.

Cash

Liquid currency held by a business for transactions, operational expenses, and other immediate needs.

Journal Entries

The recording of financial transactions in a company's ledger, detailing the accounts affected and the amounts debited or credited.

Authorized

Refers to the official approval or permission for something, often used in the context of authorized shares in a corporation.

Related Questions