Recording Sales of Merchandise on Account – Example 1
Follow the example below to learn how to analyze and record a special sales journal.
On January 5, Olympic Sports Wear sold merchandise on account to Kevin Sports for $400 with $24 sales tax.
Step 1: The source document for this sales transaction is sales slip 10.
Step 2: Enter the date from the sales slip in the Date column.
Step 3: Enter the sales slip number in the Sales Slip Number column.
Step 4: Enter the customer’s name in the Customer’s Account Debited column.
Step 5: Enter the total amount of merchandise sold in the Sales Credit column.
Step 6: Enter the sales tax amount in the Sales Tax Payable Credit column.
Step 7: Enter the total amount to be received from the customer in the Accounts Receivable Debit column.
