KBC Decorating Co. will now begin to use special journals: Sales Journal, Purchase Journal, Cash Receipts Journal,and Cash Payments Journal.

Paid for gas and oil for our own truck used for occasional deliveries of goods to some of our cash customers, $82.49 (including $3.65 GST).

At Month End:

(a) Total, balance, and rule the special journals.

(b) The PST Commission Revenue account does not exist in the ledger accounts available with the textbook. Therefore, select a sheet of ledger accounts normally used for practice exercises (code L). Enter the account name, PST Commission Revenue, and the account number, #410, Sheet #1. Insert this page in the Revenue section of the General Ledger. Also, this account may be entered on the Trial Balance temporarily on line 407 by crossing out Bad Debt Recoveries.

(c) Post all entries to the ledger accounts as discussed in this chapter. Post the journals in this order: Purchase Journal, Sales Journal, Cash Receipts Journal, and Cash Payments Journal. By posting in this order, you may occasionally see the dates of transactions out of sequence. This is normal.

(d) Prepare a trial balance on February 28, 20—. Be sure to double-check that the total of the schedule of Accounts Receivable is equal to the balance in the Accounts Receivable Control account. As well, check to see that the total of the schedule of Accounts Pay able is equal to the balance in the Accounts Payable Control account.

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