MATT HARDY G.

EVITE
ACT223
5.2 JOURNALIZING
A. Indicate the account to be debited and credited for each of the following transaction of a
merchandising.

DEBIT CREDIT
1. Bought merchandise terms n/60 Purchases Accounts Payable

2. Sold merchandise for cash Cash Sales

3. Bought tables and chairs on credit Furnitures and Fixtures Accounts Payable
4. Received a promissory note for
Notes Receivable Sales
merchandise sold.
5. Cash sales Cash Sales

6. Paid the rent of the office Rent Expense Cash

7. The owner made an additional
Inventory Owner’s Equity
investment of merchandise
8. Cash purchases Purchases Cash

9. Paid freight on merchandise brought Freight In Cash

10. Received cash refund for merchandise Purchase Returns and
Cash
returned Allowances
11. Issued a promissory note for
Purchases Notes Payable
merchandise purchased
12. Paid freight on merchandise sold Freight Out Cash
Sales Return and
13. Paid cash for merchandise returned Cash
Allowances
14. Received cash from a tenant as
Cash Rent Income
payment as rental
15. The owner withdrew merchandise for
Owner’s Withdrawing Inventory
his personal use
16. Received a credit memo for Purchase Returns and
Accounts Payable
merchandise returned Allowances
Sales Returns and
17. Paid cash for merchandise returned Cash
Allowances
18. Paid freight on tables bought Freight In Cash
19. Issued a credit memo for merchandise Sales Return and
Accounts Receivable
returned Allowances
20. Returned defective tables bought on Purchases Returns and
Accounts Payable
account Allowances
21. Issued a promissory note in payment
Accounts Payable Notes Payable
of an account which is due
22. A buyer paid freight on terms FOB-
Cash Freight Out
destination-freight collect
 23. Received a promissory note as
Notes Receivable Accounts Receivable
payment of an account due
24. A seller paid freight on terms FOB-
Freight Out Cash
shipping point, freight prepaid
25. The owner paid the tuition of her
daughter out of cash withdrawn form Owner’s Withdrawing Cash
the office.