what does customer pays $150.00 toward account at store. What does that look like using specialized journals, general ledger and subsidiary ledgers please
To illustrate the transaction of a customer paying $150.00 towards their account at a store using specialized journals, general ledger, and subsidiary ledgers, let's break down the process:
1. Specialized Journals:
- Cash Receipts Journal: This journal records all cash transactions received by the store.
Date | Customer | Account | Sales | Other Accounts | Cash
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MM/DD/YY | Customer Name | Accounts Receivable| | | $150.00
In the Cash Receipts Journal, the $150.00 payment received from the customer is recorded under "Cash."
2. General Ledger:
- Accounts Receivable: This ledger tracks the customers' outstanding balances.
Date | Description | Debit | Credit
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MM/DD/YY | Customer Name - Payment on Account | | $150.00
In the Accounts Receivable ledger, the payment is recorded with a credit of $150.00 to reduce the customer's outstanding balance.
- Cash: This ledger tracks all the cash transactions.
Date | Description | Debit | Credit
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MM/DD/YY | Customer Name - Payment towards their account | $150.00 |
In the Cash ledger, the $150.00 payment received from the customer is recorded as a debit.
3. Subsidiary Ledgers:
- Customer Accounts Subsidiary Ledger: This ledger provides a detailed record of each customer's transactions.
Customer Name: Example Customer
Date | Description | Debit | Credit
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MM/DD/YY | Payment on Account | | $150.00
In the customer's account subsidiary ledger, the payment is recorded with a credit of $150.00.
These steps demonstrate the recording of a customer's $150.00 payment towards their account at the store using specialized journals, general ledger, and subsidiary ledgers.