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Grady Wholesale Corporation Practice Set to accompany Intermediate Accounting

ISBN: 9780077328771 | 0077328779
Edition: 6th
Format: Paperback
Publisher: McGraw-Hill/Irwin
Pub. Date: 4/20/2010

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Grady Wholesale Corporation is a reseller of electronics equipment such as personal computers, peripherals, and software. Grady purchases items in bulk from various manufacturers, repackages them into smaller lots and resells them to retailers for ultimate sale to consumers. The company maintains its financial records manually. "The books" consist of special journals for sales, purchases of merchandise (made on account), cash receipts, cash disbursements, and a general journal (for all transactions that do not fit into one of the above categories), a general ledger, and subsidiary ledgers for accounts receivable and accounts payable (for merchandise purchases). Grady's policy is to post entries made in the general journal to the general ledger on a daily basis. Entries made to the special journals (sales, purchases, cash receipts, and cash disbursements) are posted to the general ledger at the end of the month. However, the subsidiary ledgers are updated on a daily basis. Check numbers, sales order numbers, and invoice numbers are used as the reference numbers for posting purposes.

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