CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning LESSON 9-2 Journalizing Cash Payments Using a Cash Payments Journal  Cash payments journal  Cash payment of an expense  Buying supplies for cash  Cash payments for purchases  Cash payments on account with purchases discounts  Cash payments on account without purchases discounts

CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning Competency: Understanding the Accounting Cycle for a Merchandising Business 2 LESSON 9-2 Objectives: 55 Compare the accounting procedures for different types of business ownerships and business Cycles 56 Differentiate between a merchandising and a service business 57 Journalize purchase transactions 59 Identify special journals and their uses 63 Prepare customer invoices for a merchandising business 71 Summarize the progression from source documents to journals to ledgers to financial reports for a merchandising business 72 Describe record/organization and retention-schedule procedure for a merchandising business

CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning 3 LESSON 9-2 CASH PAYMENTS JOURNAL page 242

CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning 4 LESSON 9-2 CASH PAYMENT OF AN EXPENSE page 243 November 2. Paid cash for advertising, $ Check No Write the date. 2.Write the account title. 3.Write the check number. 4.Write the debit amount. 5.Write the credit amount

CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning 5 LESSON 9-2 BUYING SUPPLIES FOR CASH page 243 November 5. Paid cash for office supplies, $ Check No Write the date. 2.Write the account title. 3.Write the check number. 4.Write the debit amount. 5.Write the credit amount

CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning 6 LESSON 9-2 CASH PAYMENTS FOR PURCHASES page 244 November 7. Purchased merchandise for cash, $ Check No Write the date. 2.Write the account title. 3.Write the check number. 4.Write the debit amount. 5.Write the credit amount

CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning 7 LESSON 9-2 CASH PAYMENTS ON ACCOUNT WITH PURCHASES DISCOUNTS page 245 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 Write the date. 2.Write the account title of the vendor. 3.Write the check number. 4.Write the debit amount. 5.Write the credit amount Write the credit amount. 65

CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning 8 LESSON 9-2 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 Write the date. 2.Write the vendor account title. 3.Write the check number. 4.Write the debit amount. 5.Write the credit amount

CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning 9 LESSON 9-2 TERMS REVIEW cash payments journal cash discount purchases discount general amount column list price trade discount contra account page 247