Maldanado Company has a balance in its Accounts Payable control account of $10500 on January 1 2016. The subsidiary ledger contains three accounts: Smith Company balance $3000; White Company balance $2500 and Marino Company. During January the following payable-related transactions occurred. $$\begin{array} { l c c c }
& \text { Purchases } & \text { Payments } & \text { Returns } \
\hline\text { Smith Company } & \$ 8,500 & \$ 6,000 & \$ - 0 - \
\text { White Company } & 5,250 & 2,500 & 1,500 \
\text { Marino Company } & 6,100 & 6,250 & - 0 -
\end{array}$$ Instructions
(a) What is the January 1 balance in the Marino Company subsidiary account?
(b) What is the January 31 balance in the control account?
(c) Compute the balances in the subsidiary accounts at the end of the month.
(d) Which January transaction would not be recorded in a special journal?

Question

Maldanado Company has a balance in its Accounts Payable control account of $10500 on January 1 2016. The subsidiary ledger contains three accounts: Smith Company balance $3000; White Company balance $2500 and Marino Company. During January the following payable-related transactions occurred. $$\begin{array} { l c c c } 
& \text { Purchases } & \text { Payments } & \text { Returns } \
\hline\text { Smith Company } & \$ 8,500 & \$ 6,000 & \$ - 0 - \
\text { White Company } & 5,250 & 2,500 & 1,500 \
\text { Marino Company } & 6,100 & 6,250 & - 0 -
\end{array}$$ Instructions
(a) What is the January 1 balance in the Marino Company subsidiary account?
(b) What is the January 31 balance in the control account?
(c) Compute the balances in the subsidiary accounts at the end of the month.
(d) Which January transaction would not be recorded in a special journal?

Quizplus · Accepted Answer

The Answer of Maldanado Company has a balance in its Accounts Payable control account of $10500 on January 1 2016. The subsidiary ledger contains three accounts: Smith Company balance $3000; White Company balance $2500 and Marino Company. During January the following payable-related transactions occurred. $$\begin{array} { l c c c } 
& \text { Purchases } & \text { Payments } & \text { Returns } \
\hline\text { Smith Company } & \$ 8,500 & \$ 6,000 & \$ - 0 - \
\text { White Company } & 5,250 & 2,500 & 1,500 \
\text { Marino Company } & 6,100 & 6,250 & - 0 -
\end{array}$$ Instructions
(a) What is the January 1 balance in the Marino Company subsidiary account?
(b) What is the January 31 balance in the control account?
(c) Compute the balances in the subsidiary accounts at the end of the month.
(d) Which January transaction would not be recorded in a special journal?

Maldanado Company Has a Balance in Its Accounts Payable Control