1. Lesson 10-1 (GJ)
PURCHASES JOURNAL
Lesson 10-1, page 224

2. PURCHASE INVOICE 1 4 2 3
1. Stamp date received and purchase invoice number.
2. Place a check mark by each amount.
3. Initials of person who checked invoice.
4. Review vendor’s terms of sale.
Lesson 10-1, page 225

3. PURCHASING MERCHANDISE ON ACCOUNT
November 2. Purchased merchandise on account from Crown Ltd., $2, Purchase Invoice No. 83.
Accounts Payable
Purchases
1. Which accounts are affected?
Purchases
Accounts Payable
Debit
Normal Balance
2,039.00
2. How is each account classified?
Purchases is a cost account.
Accounts Payable is a liability account. 
Credit
Normal Balance
3. How is each classification changed?
Costs are increased.
Liabilities are increased.
2,039.00 
4. How is each amount entered in the accounts?
Costs increase on the debit side.
Liabilities increase on the credit side.
Lesson 10-1, page 226

4. PURCHASING MERCHANDISE ON ACCOUNT1 2 3 4
1. Write the date.
2. Write the vendor name in the Account credited column.
3. Write the purchase invoice number in the Doc. No. column.
4. Write the amount of the invoice in the special amount column.
Lesson 10-1, page 226

5. TOTALING AND RULING A PURCHASES JOURNAL1 2 5 3 6 4
1. Rule a single line across amount column.
2. Write the date.
3. Write word Total.
4. Add the amount column.
5. Write total amount below single line.
6. Rule double lines across amount column.
Lesson 10-1, page 227

6. TERMS REVIEW partnership partner merchandising business
retail merchandising business
merchandise
wholesale merchandising business
cost of merchandise
markup
vendor
purchases journal
special amount column
purchase invoice
terms of sale
Lesson 10-1, page 232