Accounting Project

Chapter 7 and Special Journals1.) Read transaction and decide which journal to record
(If transaction is posted in a special journal you DO NOT need to record it in the general journal)
2.) Make sure after each transaction that debits = credits on each line of the special
journals or that debits = credits for each journal entry recorded in the General Journal
3.) Does the entry need to get posted to a subsidiary ledger? If the transaction is affecting:
a. Accounts Receivable or
b. Accounts Payable
It does need to be posted to the appropriate ledger.
4.) Remember Posting References (PR):
I. Special Journals (EXAMPLES)
a.Sales Journal page 3 = S3
b.
Purchases Journal page 2 = P2
c. Cash Receipts Journal page 8 = R8
d.
Cash Disbursements Journal page 5 = D5
II.
The above codes are used in the GL Accounts and the subsidiary ledgers under
the PR column.
III.
If posting to a subsidiary ledger from a special journal use a ✓ in the special
journal PR column.
IV. If cash sales are posted to the cash receipts journal use an X in the PR column
because there is no need to post anything now. That will happen at the end of
the month.
5.) Any transactions that get posted to the “Other Accounts” column in a special journal or
in the General Journal as a journal entry need to be posted to the General Ledger (GL)
Accounts right away.
6.) The totals in the marked columns (Accounts Receivable, Sales, Cost of Good Sold, etc.)
of the Special Journals get posted at the end of the month to the GL Accounts and
posting references need to be put in the Special Journals under the column total.
7.) Remember in the GL Accounts that when you keep track of balances in each account
and it has a normal debit balance, when you debit that account you will add the
numbers to get the new balance. If you are crediting that account, you will subtract the
number from the current balance.
8.) If the GL account has a normal debit balance with no beginning balance and you have to
credit that account, the amount will be negative and should be shown as (2,000). If
your next transaction is a debit, you will need to subtract those numbers. Ex: (2,000)
balance and a debit for 3,000 would leave a balance of 1,000.
101
102
106
109
119
125
140
141
201
221
231
241
251
301
302
Cole Bennett
Chart of Accounts
Roadrunner Bookstore
Cash
403
Petty Cash
408
Accounts Receivable
412
Allowance for Doubtful Accounts
415
Merchandise Inventory
602
Office Supplies
621
Building
626
Accumulated Depreciation – Building
630
Accounts Payable
633
Salaries Payable
636
Notes Payable
646
Interest Payable
656
Unearned Revenue
659
T. Smith, Capital
661
T. Smith, Withdrawals
686
Sales
Rental Revenue
Interest Revenue
Sales Discounts
Cost of Goods Sold
Office Salaries Expense
Insurance Expense
Office Supplies Expense
Depreciation Expense – Building
Postage Expense
Delivery Expense
Telephone Expense
Interest Expense
Bad Debts Expense
Cash Over and Short
Sales Journal
Date
Page 1
Accounts
Receivable
Dr.
Cost of Goods Sold Dr.
Inventory Cr.
Accounts
Payable Cr.
Inventory
Dr.
Page 1
Other
Accounts
Dr.
Sales Discount Dr.
Accounts
Receivabl
e Cr.
Sales Cr.
Other
Accounts
Cr.
PR
Inventory
Cr.
Other
Accounts
Dr.
Accounts
Payable Dr.
Account Debited
Invoice
Numbe
r
TERMS
PR
✓
Account
Date of
Invoice
TERMS
PR
PR
Cash Dr.
Purchases Journal
Date
Cash Receipts Journal
Date
Account Credited
Explanation
Cash Disbursements Journal
Date
Cole Bennett
Check No.
Page 1
Payee
Account Debited
Cash Cr.
Page 1
Cost of Good
Sold Dr.
Inventory Cr.
Date
Roadrunner Bookstore
GENERAL JOURNAL
Account Titles and Explanation
GENERAL JOURNAL
PR
Debit
Page 1
Credit
Page 2
Date
Account Titles and Explanation
GENERAL JOURNAL
PR
Debit
Credit
Page 3
Date
Account Titles and Explanation
PR
Debit
Credit
Cole Bennett
General Ledger (Partial Listing)
Cash
Date
Petty Cash
Date
Explanation
Explanation
PR
PR
Debit
Acct. No.
Credit
101
Balance
Debit
Acct. No.
Credit
102
Balance
106
Balance
Accounts Receivable
Date
Explanation
PR
Debit
Acct. No.
Credit
Allowance for Doubtful Accounts
Date
Explanation
PR
Debit
Acct. No.
Credit
109
Balance
Merchandise Inventory
Date
Explanation
PR
Debit
Acct. No.
Credit
119
Balance
Office Supplies
Date
Explanation
PR
Debit
Acct. No.
Credit
125
Balance
140
Balance
141
Balance
Building
Date
Explanation
PR
Debit
Acct. No.
Credit
Accumulated Depreciation – Building
Date
Explanation
PR
Debit
Acct. No.
Credit
General Ledger (Partial Listing)
Accounts Payable
Date
Explanation
Salaries Payable
Date
Explanation
PR
PR
Debit
Acct. No.
Credit
201
Balance
Debit
Acct. No.
Credit
221
Balance
231
Balance
Notes Payable
Date
Explanation
PR
Debit
Acct. No.
Credit
Interest Payable
Date
Explanation
PR
Debit
Acct. No.
Credit
241
Balance
Unearned Revenue
Date
Explanation
PR
Debit
Acct. No.
Credit
251
Balance
301
Balance
302
Balance
T. Smith, Capital
Date
Explanation
PR
Debit
Acct. No.
Credit
T. Smith, Withdrawals
Date
Explanation
PR
Debit
Acct. No.
Credit
General Ledger (Partial Listing)
Sales
Date
Explanation
PR
Debit
Acct. No.
Credit
Rental Revenue
Date
Explanation
PR
Debit
Acct. No.
Credit
408
Balance
Debit
Acct. No.
Credit
412
Balance
Debit
Acct. No.
Credit
415
Balance
Debit
Acct. No.
Credit
602
Balance
621
Balance
Interest Revenue
Date
Explanation
Sales Discounts
Date
Explanation
Cost of Goods Sold
Date
Explanation
PR
PR
PR
403
Balance
Office Salaries Expense
Date
Explanation
PR
Debit
Acct. No.
Credit
Insurance Expense
Date
Explanation
PR
Debit
Acct. No.
Credit
626
Balance
Office Supplies Expense
Date
Explanation
PR
Debit
Acct. No.
Credit
630
Balance
General Ledger (Partial Listing)
Depreciation Expense
Date
Explanation
Postage Expense
Date
Explanation
Delivery Expense
Date
Explanation
PR
PR
PR
Debit
Acct. No.
Credit
633
Balance
Debit
Acct. No.
Credit
636
Balance
Debit
Acct. No.
Credit
646
Balance
656
Balance
Telephone Expense
Date
Explanation
PR
Debit
Acct. No.
Credit
Interest Expense
Date
Explanation
PR
Debit
Acct. No.
Credit
659
Balance
Bad Debts Expense
Date
Explanation
PR
Debit
Acct. No.
Credit
661
Balance
686
Balance
901
Balance
Cash Over and Short
Date
Explanation
PR
Debit
Acct. No.
Credit
Income Summary
Date
Explanation
PR
Debit
Acct. No.
Credit
General Ledger (Partial Listing)
General Ledger (Partial Listing)
General Ledger (Partial Listing)
Cole Bennett
Accounts Receivable Ledger
Accounts Payable Ledger
Date
PR
Debit
Credit
Balance
Date
PR
Debit
Credit
Balance
Date
PR
Debit
Credit
Balance
Date
PR
Debit
Credit
Balance
Date
PR
Debit
Credit
Balance
Date
PR
Debit
Credit
Balance
Cole Bennett
Work Sheet
Unadjusted Trial
Balance
Debit
Credit
No.
101
102
106
109
119
125
140
141
201
221
231
241
251
301
302
403
408
412
415
602
621
626
630
633
636
646
656
659
661
686
Cole Bennett
Cash
Petty Cash
Accounts Receivable
Allowance for Doubtful Accounts
Merchandise Inventory
Office Supplies
Building
Accumulated Depreciation – Building
Accounts Payable
Salaries Payable
Notes Payable
Interest Payable
Unearned Revenue
T. Smith, Capital
T. Smith, Withdrawals
Sales
Rental Revenue
Interest Revenue
Sales Discounts
Cost of Goods Sold
Office Salaries Expense
Insurance Expense
Office Supplies Expense
Depreciation Expense – Building
Postage Expense
Delivery Expense
Telephone Expense
Interest Expense
Bad Debts Expense
Cash Over and Short
Totals
Net Income
Adjustments
Debit
Credit
Adjusted Trial
Balance
Credit
Debit
Income Statement
Debit
Credit
Balance Sheet and
Statement of
Owner’s Equity
Debit
Credit
Schedule of Accounts Receivable
Schedule of Accounts Payable
Cole Bennett
Income Statement
Statement of Owner’s Equity
Balance Sheet
Cole Bennett
Post-Closing Trial Balance
Debit
Credit
Cole Bennett