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Renton Co. uses special journals to record its transactions.

Please explain any errors. Problem attached.

Renton Co. uses special journals to record its transactions. They use the perpetual inventory system. Shown below are the purchasing and cash disbursement transactions for current month of May:

Record these transactions in the following journals.

Purchase Journal

Date

Account
Date of invoice

Terms

Pr Accounts payable Cr. Inventory Dr. Office Supplies
Other Accounts Dr.
5-2 Echo Co./Office Equipment 5-1 n/60 7,200
5-9 Inca Inc./Merchandise 5-8 1/15,n/30 24,600 24,600
5-18 Howe Inc./Office Supplies 5-17 EOM 230 230
5-31 Totals 32,030 24,600 230

Cash Disbursements Journal

Date Ck. No. Payee Account Debited

Pr Cash Cr. Inventory Cr. Other Accounts Dr.
Accounts Payable Dr.
5-1 1133 Zillah Co. Zillah Co. 5,400
5-6 1134 Fox Inc Fox Inc 100
5-10 1135 Echo Co. Echo Co. 7,200
5-31 Total 12,600 100

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Solution Preview

Renton Co. uses special journals to record its transactions. They use the perpetual inventory system. Shown below are the purchasing and cash disbursement transactions for current month of May:

Record these transactions in the following journals.

Purchase Journal ...

Solution Summary

This solution is comprised of a detailed explanation to record these transactions in the following journals.

$2.19