Lesson 8: During this class we will take up Problem 8-9 which we completed last day.
Once we have taken up last day's problem, we will then explore Topic #4 of Chapter 8 - Journalizing and Posting Cash Receipts.
The primary focus of this topic is the Cash Receipts Journal (page 325). This is a journal in which we exclusively record transactions pertaining to the receipt of cash - generally due to customers making payments on their accounts.
Receipt # | Date | Account Credited | Description | P.R. | Amount |
| 2984 | Jan. 10 | D. Smith | Received on Account |  | 100.00 |
| 2986 | Jan. 24 | L. Brown | Received on Account | | 150.00 |
| 2987 | Jan. 28 | A. Zender | Payment in Full | | 90.00 |
| Jan. 31 | Cash (DR) / Acc. Rec. (CR) | 101/103 | 340.00 | ||
A different receipt is used to record the payment on account than was used to record the initial fee earned. Thus, a different receipt number than the one used in the Fees Earned Journal appears in the Cash Receipts Journal.
At the end of the month, the amounts still owed to us by our customers are noted within a Schedule of Accounts Receivable.
Evaluation Exercise:
The assigned problem for the class will be Problem 8-11 on page 328.
Reference:
Please read this topic (pages 324-327) in preparation for the class.