Accounting Bell Ringer
Tuesday, February 21
BELL RINGER
Purchases Journal Short Answer
worksheet.
CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning
Tuesday, February 21
AGENDA
Chapter 9: Lesson 9-2: Journalizing Cash
Payment Using a Cash Payments Journal
Show Professional Reading for Q3
This Time we are “really” going To
complete this task!!!!
CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning
3
CASH PAYMENTS JOURNAL
CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning
page 242
LESSON 9-2
4
CASH PAYMENT OF AN EXPENSE
page 243
November 2. Paid cash for advertising, $150.00. Check No. 292.
1
1.
2.
3.
4.
5.
2
3
4
5
Write the date.
Write the account title.
Write the check number.
Write the debit amount.
Write the credit amount.
CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning
LESSON 9-2
5
BUYING SUPPLIES FOR CASH
page 243
November 5. Paid cash for office supplies, $94.00. Check No. 293.
1
1.
2.
3.
4.
5.
2
3
4
5
Write the date.
Write the account title.
Write the check number.
Write the debit amount.
Write the credit amount.
CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning
LESSON 9-2
CASH PAYMENTS FOR PURCHASES
Cash payments for purchases:
The retail price listed in a manufacturer/wholesalers catalog or on the
internet is referred to as the ______ _______.
If a business purchases a number of products, the price can be quoted
as the list price less the _________ __________. The purchases
receives a discount for buying large quantities.
When a trade discount is granted, the seller’s invoice shows the
_________ _________ ________. This amount after the discount has
been deducted is the invoice amount.
CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning
The trade discount is calculated as follows in two steps:
The list price for 10 ceramic molds in $1500.00. The invoice price is the
list price less a 60% trade discount.
STEP 1
List Price
x trade discount rate = trade discount
________ x _______________ = ___________
STEP 2
Total list price - trade discount = Invoice amount
__________ - __________ = ___________
CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning
8
CASH PAYMENTS FOR PURCHASES
page 244
November 7. Purchased merchandise for cash, $600.00. Check
No. 301.
2
1
1.
2.
3.
4.
5.
3
4
5
Write the date.
Write the account title.
Write the check number.
Write the debit amount.
Write the credit amount.
CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning
LESSON 9-2
CASH PAYMENTS ON ACCOUNT WITH
PURCHASES DISCOUNTS
A cash discount is stated as a ____________ deducted from the
_________ __________,
For example: 2/10, n/30 is a common term of sale which is read:
______ ________, ______ ________.
It means ______ of the invoice can be deducted if it is paid within _____
______ of the invoice date.
_______ ________ means that the total invoice amount must be paid
with in thirty days.
CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning
CASH PAYMENTS ON ACCOUNT WITH
PURCHASES DISCOUNTS
A business wants to keep track of the purchase discounts so creates (in
the chart of accounts) a general ledger account titled purchase discounts.
Purchases Discounts _________ the amount journalized in the Purchases
journal. An account that reduces a related account on a financial
statement is called a _______ _________.
On the _________ _________, Purchases Discount is deducted from the
balance of its __________ account, Purchases.
__________ discounts are not recorded, ______ discounts are.
CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning
CASH PAYMENTS ON ACCOUNT WITH
PURCHASES DISCOUNTS
November 8. Paid cash on account to Gulf Craft Supply, $488.04, covering
Purchase Invoice No. 82 for $498.00, less 2% discount, $9.96. Check No.
302.
Purchase Discounts are calculated:
STEP 1
Purchase Invoice
x Purchases Discount
= Purchases
Amount
Rate
Discount
_____________ x
_______________ = ___________
STEP 2
Purchase Invoice Amount - Purchases discount = Cash Amount After
Discount
_________________
- _____________
=
___________
CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning
12
CASH PAYMENTS ON ACCOUNT WITH
PURCHASES DISCOUNTS
November 8. Paid cash on account to Gulf Craft Supply, $488.04,
covering Purchase Invoice No. 82 for $498.00, less 2% discount,
$9.96. Check No. 302.
5
1
1.
2.
3.
4.
5.
6.
2
page 245
6
4
3
Write the date.
Write the account title of the vendor.
Write the check number.
Write the debit amount.
Write the credit amount.
Write the credit amount.
CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning
LESSON 9-2
13
CASH PAYMENTS ON ACCOUNT
WITHOUT PURCHASES DISCOUNTS
page 246
November 13. Paid cash on account to American Paint, $2,650.00,
covering Purchase Invoice No. 77. Check No. 303.
1
2
4
5
3
1.
2.
3.
4.
5.
Write the date.
Write the vendor account title.
Write the check number.
Write the debit amount.
Write the credit amount.
CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning
LESSON 9-2
14
TERMS REVIEW







page 247
cash payments journal
cash discount
purchases discount
general amount column
list price
trade discount
contra account
CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning
LESSON 9-2
15
ASSIGNMENT
Work Together 9-2 as a Class,
pg. 247
CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning
LESSON 5-1
16
CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning
LESSON 9-1
LESSON 9-3
Performing Additional
Cash Payments Journal
Operations
CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning
18
PETTY CASH REPORT
1. Write the date and
1
custodian name.
2. Write the fund total.
3. Summarize petty cash
payments.
4. Calculate and write the
3
total payments.
5. Calculate and write the
recorded amount on
hand.
5
6. Write the actual amount of cash on hand.
7. Subtract the actual amount on hand from the
recorded amount on hand and write the amount.
8. Write the total of the replenish amount.
CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning
page 248
2
4
6
7
8
LESSON 9-3
19
REPLENISHING A PETTY CASH FUND
page 249
1.
2.
3.
4.
5.
Date
Account titles
Check number
Expense amounts
Cash short as a debit;
cash over as a credit
6. Total cash payment
4
5
6
1
2
3
CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning
LESSON 9-3
TOTALING, PROVING, AND RULING A CASH
PAYMENTS JOURNAL PAGE TO CARRY
TOTALS FORWARD
20
page 250
1
2
1.
2.
3.
4.
5.
6.
3
4
5
Rule a single line.
Write the date.
Write the words Carried Forward in the Account Title column.
Place a check mark in the Post. Ref. column.
Write each column total.
Rule double lines.
CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning
6
LESSON 9-3
21
STARTING A NEW CASH PAYMENTS
JOURNAL PAGE
page 251
1
2
1.
2.
3.
4.
5.
3
4
5
Write the journal page number.
Write the date.
Write the words Brought Forward in the Account Title column.
Place a check mark in the Post. Ref. column.
Record the column totals.
CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning
LESSON 9-3
TOTALING, PROVING, AND RULING A CASH
PAYMENTS JOURNAL AT THE END OF A
MONTH
22
page 252
1
2
3
1.
2.
3.
4.
5.
Rule a single line.
Write the date.
Write the word Totals in the Account Title column.
Write each column total.
Rule double lines.
CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning
4
5
LESSON 9-3
23
TERMS REVIEW
page 253
 cash short
 cash over
CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning
LESSON 9-3
24
ASSIGNMENT
Work Together 9-3 as a Class,
pg. 253
CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning
LESSON 5-1
25
CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning
LESSON 9-1
26
CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning
LESSON 9-1
27
CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning
LESSON 9-1
28
ASSIGNMENT
 On Your Own 9-2 on Aplia practice / completion
grade, pg. 247 (10 points)
 On Your Own 9-3 on Aplia practice / completion
grade, pg. 253, (10 points)
 Application 9-2: Grade It Now, page 260
 Application 9-3: Grade It Now, page 261
 Define terms for Lessons: 9-1, 9-2, 9-3
 Show me your professional reading book (25 pts.)
REMINDER: The first FOUR modules in Everfi
(everfi.net) must be complete before interims.
CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning
LESSON 5-1
29
Exit Ticket
DEFINE THE NINE TERMS
FOR LESSON 9-2 and 9-3
PLEASE REMEMBER TO PUT THE
BOOKS IN THE CABINET
CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning
LESSON 5-1