Chapter B, Problem 3SE

Identifying special journals

Use the following abbreviations to indicate the journal in which you would record transactions a through n.

J = General journal

S = Sales journal

CR = Cash receipts journal

P = Purchases journal

CP = Cash payments journal

Transactions:

___ a.    Cash purchase of merchandise inventory

___ b.    Collection of dividend revenue earned on an investment

___ c.    Prepayment of insurance

___ d.    Borrowing money on a long-term note payable

___ c.    Purchase of equipment on account

___ f.    Cost of goods sold along with a credit sale

___ g.    Cash sale of merchandise inventory

___ h.    Payment of rent

___ i.    Depreciation of computer equipment

___ j.    Purchase of merchandise inventory on account

___ k.    Collection of accounts receivable

___ 1.    Expiration of prepaid insurance

___ m.    Sale on account

___ n.    Payment on account