1. The Accounting Cycle for a
Merchandising Corporation!!!
Chapter
16:
Special
Journals:
Sales &
Cash
Receipts

2. 16. Understand two special journal: Sales Journal &
Cash Receipts Journal by being able to:
a. Identify special journals & how they are used.
b. Record sales of merchandise on account in the sales
journal
c. Record receipt of all cash into Cash Receipts Journal
d. Post from the Sales Journal to the General Journal &
A/R Subsidiary Ledger
e. Post from the Cash Receipts Journal to General Journal
& A/R Subsidiary Ledger
f. Foot, prove, total & rule sales journal & cash receipts
journal
g. Define the accounting terms used in this chapter

3.  Have amounts columns used to record debits
and credits to specific general ledger accounts
 Most transactions recorded on one line
 Simplify journalizing & posting process

4. 1. Sales journal  Sale of merchandise
2. Cash receipts on account
journal  Receipt of all cash
3. Purchases  Purchase of any
journal asset account
4. Cash payments  Payment of all cash
journal

5. The Sales Journal

6.  Special journal used to record sales of
merchandise on account
 Sales journal has:
a) Space for page number
b) Columns for date & posting reference
c) Separate column to record the sales slip
number
d) Column to record name of charge customer
e) Three special amount columns:
1. Sales Credit column
2. Sales Tax Payable Credit column
3. A/R Debit Column

8.  On December 1 On Your Mark sold merchandise on
account to Casey Klein for $200 plus $12 sales tax,
Sales Slip 50

9.  Posting transactions from the Sales Journal to
the A/R Subsidiary Ledger.

15. The
Cash Receipts
Journal

17.  Special journal used to record receipt of all cash
received or (cash receipt)—debit to Cash in Bank
 Cash Receipts Journal has:
a) Space for page number
b) Columns for date & posting reference
c) Separate column to record the sales slip number
d) Column to record name of charge customer
e) Six special amount columns:
1. General Credit column
2. Sales Credit column
3. Sales Tax Payable Credit column
4. A/R Credit column
5. Sales Discounts Debit column
6. Cash in Bank Debit column

18.  General Credit  Record credit to accounts
where there is no special
column
 Sales Credit
 Merchandise purchased by
 Sales
Tax Payable customers using cash or bank
Credit cards
 Sales tax collected
 A/R Credit  Record payments from
charge customers
 Sales Discounts  Record amount o cash
Debit discounts taken by charging
customers
 Cash in Bank Debit  Record amount of cash
actually received in
transaction

19. On December 5, Casey Klein pays $212.00 on account,
R301.

20. Received $1,470 from South Branch High School Athletics
in payment of Sales Slip 51 for $1500 less discount of $30,
Receipt 302.

29. Now, on to some class activities on
our topic!!!