Question

Cham Company uses a Sales Journal, a Purchases Journal, a CashReceipts Journal, a Cash Disbursements Journal, and a GeneralJournal. The following transactions occurred during the month ofJuly 2014:

July 1 Purchased merchandise on credit for $8,100 from Angler,Inc., terms n/30.

8 Sold merchandise on credit to B. Harren for $1,500, subject toa $30 sales discount if paid by the end of the month. Cost,$820.

    10 The owner of Cham Company, Pat Johnson,invested $2,000 cash.

    14 Purchased store supplies from SteckCompany on credit for $240, terms 2/10, n/30.

    17 Purchased merchandise inventory on creditfrom Marten Company for $2,600, terms n/30.

    24 Sold merchandise to W. Winger for $630cash. Cost, $350.

    28 Purchased merchandise inventory fromHadley’s for $9,000 cash.

    29 Paid Angler, Inc., $8,1 00 for themerchandise purchased on July 1.

a) complete the requirements assuming a periodic inventorysystem.