The following selected transactions were completed by Green Lawn Supplies Co., which sells irrigation supplies primarily to wholesalers and occasionally to retail customers

The following selected transactions were completed by Green Lawn Supplies Co., which sells irrigation supplies primarily to wholesalers and occasionally to retail customers:

July 1. Sold merchandise on account to Landscapes Co., $33,450, terms FOB shipping point, n/eom. The cost of merchandise sold was $20,000.
2. Sold merchandise for $86,000 plus 8% sales tax to retail cash customers. The cost of merchandise sold was $51,600.
5. Sold merchandise on account to Peacock Company, $17,500, terms FOB destination, 1/10, n/30. The cost of merchandise sold was $10,000.
 8. Sold merchandise for $112,000 plus 8% sales tax to retail customers who used VISA cards. The cost of merchandise sold was $67,200.
13. Sold merchandise to customers who used MasterCard cards, $96,000. The cost of merchandise sold was $57,600.
14. Sold merchandise on account to Loeb Co., $16,000, terms FOB shipping point, 1/10, n/30. The cost of merchandise sold was $9,000.
15. Received check for amount due from Peacock Company for sale on July 5.
16. Issued credit memo for $3,000 to Loeb Co. for merchandise returned from sale on July 14. The cost of the merchandise returned was $1,800.
18. Sold merchandise on account to Jennings Company, $11,350, terms FOB shipping point, 2/10, n/30. Paid $475 for freight and added it to the invoice. The cost of merchandise sold was $6,800.
24. Received check for amount due from Loeb Co. for sale on July 14 less credit memo of July 16 and discount.
28. Received check for amount due from Jennings Company for sale of July 18.
31. Paid Black Lab Delivery Service $8,550 for merchandise delivered during July to customers under shipping terms of FOB destination.
31. Received check for amount due from Landscapes Co. for sale of July 1.
Aug. 3. Paid Hays Federal Bank $3,770 for service fees for handling MasterCard and VISA sales during July.
10. Paid $41,260 to state sales tax division for taxes owed on sales.

Instructions
Journalize the entries to record the transactions of Green Lawn Supplies Co.


Answer:













































July 1 Accounts Receivable—Landscapes Co. 33,450
Sales 33,450
1 Cost of Merchandise Sold 20,000
Merchandise Inventory 20,000
2 Cash 92,880
Sales 86,000
Sales Tax Payable 6,880
2 Cost of Merchandise Sold 51,600
Merchandise Inventory 51,600
5 Accounts Receivable—Peacock Company 17,500
Sales 17,500
5 Cost of Merchandise Sold 10,000
Merchandise Inventory 10,000
8 Cash 120,960
Sales 112,000
Sales Tax Payable 8,960
8 Cost of Merchandise Sold 67,200
Merchandise Inventory 67,200
13 Cash 96,000
Sales 96,000
13 Cost of Merchandise Sold 57,600
Merchandise Inventory 57,600
14 Accounts Receivable—Loeb Co. 16,000
Sales 16,000
14 Cost of Merchandise Sold 9,000
Merchandise Inventory 9,000
15 Cash 17,325
Sales Discounts 175
Accounts Receivable—Peacock Company 17,500
July 16 Sales Returns and Allowances 3,000
Accounts Receivable—Loeb Co. 3,000
16 Merchandise Inventory 1,800
Cost of Merchandise Sold 1,800
18 Accounts Receivable—Jennings Company 11,350
Sales 11,350
18 Accounts Receivable—Jennings Company 475
Cash 475
18 Cost of Merchandise Sold 6,800
Merchandise Inventory 6,800
24 Cash 12,870
Sales Discounts 130
Accounts Receivable—Loeb Co. 13,000
28 Cash 11,598
Sales Discounts 227
Accounts Receivable—Jennings Company 11,825
31 Delivery Expense 8,550
Cash 8,550
31 Cash 33,450
Accounts Receivable—Landscapes Co. 33,450
Aug. 3 Credit Card Expense 3,770
Cash 3,770
10 Sales Tax Payable 41,260
Cash 41,260