General Ledger Accounting Software

Archive for July, 2011

The entry is: Sold merchandise to company A, FOB shipping point. However, the next entry is: For the convenience of company A, we paid shipping for them. Because we are selling, i would think the correct account to debit would be either “freight out” or “delivery expense” but neither of them were in the general ledger. I thought that only purchases go through the ‘merchandise inventory’, but now i dont know. My question is, do i debit merch. inventory or create a new ‘delivery expense’ account?

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Purchases Day Book VS Purchases Account

June 30 bank reconciliation indicated that deposits in transit totalled $970. In July, the general ledger Cash account showed deposits of $15,770, but the bank statement indicated that $15,820 of deposits were received in the month.

In August, cash disbursements per books were $21,760 and cheques clearing the bank totalled $22,310.

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I transfered to much money from the general account to the payroll account. In the general ledger I recorded what actually should have been transferred, but the bank is off $794.65. How and where should i record this on my bank rec?

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