This document discusses recording international sales transactions in accounting. It provides instructions for journalizing an international cash sale, journalizing sales on account using time drafts, and journalizing the collection of cash from a time draft. Key terms related to international sales such as exports, imports, letters of credit, bills of lading, drafts, and trade acceptances are also defined.

1. CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning
LESSON 24-1LESSON 24-1
Recording International
Sales

2. 2
LESSON 24-1CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning
JOURNALIZING ANJOURNALIZING AN
INTERNATIONAL SALEINTERNATIONAL SALE
11
22
33
44
55 66
page 706
April 1. Recorded international cash sale, $5,000.00. Memorandum 45.
1. Write the date.
2. Place a check mark.
3. Write the source document number.
4. Place a check mark in the Post. Ref. column.
5. Write the sale amount in the Sales Credit column.
6. Write the sale amount in the Cash Debit column.

3. 3
LESSON 24-1CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning
JOURNALIZING TIME DRAFTSJOURNALIZING TIME DRAFTS
11
22
33
44
55 66
page 707
May 10. Received a 60-day, time draft from Simov Co. for an
international sale, $6,000.00. Time Draft No. 12.
4. Sale amount debit1. Date
2. Account debited
6. Sale amount credit3. Time draft number
5. Account credited

4. 4
LESSON 24-1CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning
JOURNALIZING CASH RECEIPTSJOURNALIZING CASH RECEIPTS
FROM TIME DRAFTSFROM TIME DRAFTS
11 22 33 44 55
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July 9. Received cash for the value of Time Draft No. 12,
$6,000.00. Receipt No. 465.
5. Amount received debit
4. Amount received credit
3. Receipt number
2. Account title
1. Date

5. 5
LESSON 24-1CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning
TERMS REVIEWTERMS REVIEW
 exports
 imports
 contract of sale
 letter of credit
 bill of lading
 commercial invoice
 draft
 sight draft
 time draft
 trade acceptance
page 709

6. 5
LESSON 24-1CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning
TERMS REVIEWTERMS REVIEW
 exports
 imports
 contract of sale
 letter of credit
 bill of lading
 commercial invoice
 draft
 sight draft
 time draft
 trade acceptance
page 709