Table 7-8 Nordin Avionics
J Cash Receipts Journal -Refer to Table 7-8 and Provide a Schedule Balancing the January

question 95

Essay

Table 7-8 Nordin Avionics
J. Nordin Avionics began business on January 1, 2019. The business was started with $10,000 in the cash account and $30,000 of inventory in stock. Nordin uses a sales journal to record credit sales and a cash receipts journal to record all cash receipts, including both cash sales and cash collections of credit sales. At the end of January, the two journals appeared as follows: Sales Journal
$\begin{array}{c}\begin{array}{|l|}\hline\\\\\text { Date }\\\hline\text {Jan} 4 \\\hline 6 \\\hline 13 \\\hline 20 \\\hline 22 \\\hline\\ \hline\end{array}\begin{array}{l|}\hline\\\\\text { Invoice \# }\\\hline 1000 \\\hline 1001 \\\hline 1002 \\\hline 1003 \\\hline 1004 \\\hline \\\hline \end{array}\begin{array}{l|}\hline\\\\\text {Customer}\\\hline\text {Reed, A.}\\\hline\text {Charles, \( B \).}\\\hline\text {Reed, A.}\\\hline\text {Williams, D.}\\\hline\text {Charles, B.}\\\hline\text {Total}\\\hline \end{array}\begin{array}{l|}\hline\\\text {Post}\\\text {Ref.}\\\hline\\\hline\\\hline\\\hline\\\hline\\\hline\\\hline\end{array}\begin{array}{l|}\hline\text {Accts Rec}\\\text {\( \mathrm{DR} / \)}\\\text {Sales Rev CR}\\\hline \$ 5,000 \\ \hline 1,240 \\ \hline 3,200 \\ \hline 900 \\ \hline 5,100 \\ \hline \$ 15,440\\\hline \end{array}\begin{array}{l|}\hline \\\text {COGS DR/ }\\\text { Inventory CR}\\\hline \$ 4,100\\\hline 990 \\\hline 2,800 \\\hline 820 \\\hline 4,600 \\\hline \$ 13,310 \\\hline\end{array}\end{array}$


Cash Receipts Journal
$\begin{array}{c}\begin{array}{|l|}\hline\\\\ \text {Date}\\\hline \text {Jan 5}\\\hline10\\\hline14\\\hline\\18\\\hline\\\hline \end{array}\begin{array}{l|}\hline\\ \text {Cash}\\ \text {Debit}\\\hline\$3,300\\\hline5,000\\\hline9,000\\\hline\\1,240\\\hline\$ 18,540 \\\hline \end{array}\begin{array}{l|}\hline\\\text {Sales Revenue}\\\text {Credit}\\\hline \$ 3,300 \\\hline\\\hline9,000\\\hline\\\\\hline\$ 12,300 \\\hline \end{array}\begin{array}{l|}\hline \text {Accts.}\\\text {Rec.}\\\text {Credit}\\\hline\\\hline \$ 5,000\\\hline\\\hline\\1,240\\\hline\$ 6,240\\\hline\end{array}\begin{array}{l|}\hline \\\\\text {Invoice \#}\\\hline \\\hline 1000\\\hline \\\hline \\1001\\\hline \\\hline \end{array}\begin{array}{l|}\hline \\\\\text {Customer}\\\hline \\\hline\text { Reed, A.}\\\hline \\\hline\text {Charles,}\\\text { B.}\\\hline \\\hline \end{array}\begin{array}{l|}\hline \\\text {COGS DR/}\\\text {Inv entory CR}\\\hline\$ 2,700 \\\hline\\\hline8,000\\\hline\\\\\hline\$ 10,700 \\\hline \end{array}\end{array}$



-Refer to Table 7-8 and provide a schedule balancing the accounts receivable subsidiary ledger to the accounts receivable control account.

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Definitions:

Central Planning

An economic system where decisions about production, investment, and distribution are made by the government or a central authority.

Consumer Sovereignty

The concept that consumers' preferences determine the production of goods and services, guiding the allocation of resources in a market.

Monarchy

A form of government where a single person, the monarch, rules until death or abdication, with the position often inherited.

Profits

The financial gain realized when the revenue from business activities exceeds the expenses, costs, and taxes needed to sustain the activity.