Pet Groom Inc. has $685 in the May 1 balance of the accounts payable control account. Transactions related to purchases and cash payments completed by Pet Groom Inc. during the month of May 2008 are as follows:
May 4. Purchased pet supplies from Best Friend Supplies Inc. on account, $265.
May 6. Issued Check No. 345 to Larrimore Inc. in payment of account, $455.
May 11. Purchased pet supplies from Poodle Pals Inc., $675.
May 18. Issued Check No. 346 to Pets Mart Inc. in payment of account, $230.
May 19. Purchased office equipment from Office Helper Inc. on account, $2,400.
May 23. Issued Check No. 347 to Best Friend Supplies Inc. in payment of account from purchase made on May 4.
May 27. Purchased pet supplies from Pets Mart Inc. on account, $410.
May 30. Issued Check No. 348 to Sanders Inc. for cleaning expenses, $45.
a. Prepare a purchases journal and a cash payments journal to record these transactions.
The forms of the journals are similar to those used in the text. Place a check mark (??) in the Post. Ref. column to indicate when the Accounts Payable subsidiary ledger should be posted. Pet Groom Inc. uses the following accounts:
|
Office Equipment |
13 |
|
Pet Supplies |
14 |
|
Cleaning Expense |
54 |
b. Prepare a supplier balance summary report on May 31, 2008. Verify that the total of the supplier balance summary report equals the balance of the accounts payable control account on May 31, 2008.