Part 1 (8 points):List four procedures that a business should use to control its cashpayments.Part 2 (9 points):Determine the due dates and discount amount for the followingexample:A software company frequently purchases merchandise on account.When it receives an invoice, a clerk puts a processing stamp on theinvoice indicating the due date, the amount of any discount, andthe amount to be paid.The following invoices were received during March: S. No Invoice Number Invoice Date Credit Terms Invoice Amounts 1. 2456 January 5 2/10, n/30 $3,000.00 2. 7895 January 7 3/10, n/30 $5,500.00 3. 6785 January 12 2/15, n/60 $729.95 4. 7859 January 23 2/10, n/30 $1,526.50 Instructions: The first invoice has been completedas an example. Prepare a form similar to the one that follows usingyour spreadsheet software. For each invoice do the following: Determine the due date. Assume thatthe software company always pays invoices within the discountperiod. Calculate the discount amount, ifany. Calculate the amount to bepaid. Calculate the amount the softwarecompany will save by taking advantage of all discounts. Invoice Number Invoice Date Credit Terms Invoice Amount Due Date Discount Amount Amount to be Paid 2456 Jan 5 2/10. n/30 $3,000.00 Jan 15 $60.00 $2,940.00

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Part 1 (8 points):List four procedures that a business should use to control its cashpayments.Part 2 (9 points):Determine the due dates and discount amount for the followingexample:A software company frequently purchases merchandise on account.When it receives an invoice, a clerk puts a processing stamp on theinvoice indicating the due date, the amount of any discount, andthe amount to be paid.The following invoices were received during March:    S. No Invoice Number Invoice Date Credit Terms Invoice Amounts   1. 2456 January 5 2/10, n/30 $3,000.00   2. 7895 January 7 3/10, n/30 $5,500.00   3. 6785 January 12 2/15, n/60 $729.95   4. 7859 January 23 2/10, n/30 $1,526.50              Instructions: The first invoice has been completedas an example. Prepare a form similar to the one that follows usingyour spreadsheet software. For each invoice do the following:  Determine the due date. Assume thatthe software company always pays invoices within the discountperiod. Calculate the discount amount, ifany. Calculate the amount to bepaid. Calculate the amount the softwarecompany will save by taking advantage of all discounts.      Invoice Number Invoice Date Credit Terms Invoice Amount  Due Date Discount Amount Amount to be Paid   2456 Jan 5 2/10. n/30 $3,000.00 Jan 15 $60.00 $2,940.00

Accounts Receivable Subsidiary Ledger Gabbard, Inc. April 30, 20xx Open Receivables
Customer:	Acme Sporting Goods Central 4726 Interstate Highway 2L Devron, Kansas 76588 507â945â8800				Account 43985 Credit Terms: 30 days Credit Limit: $15,000
	Invoice Number	Invoice Date	Due Date	Amount	Customer Total
	77341	April 27	May 27	$1,366.48
	75118	April 1	May 1	4,975.00
	70698	March 15	April 14	4,017.15
	65287	January 14	February 13	659.59	$11,018.22
Customer:	Brufton Outdoors 623 Main Street NW Devron, Kansas 76588 507â945â1844				Account 41772 Credit Terms: 30 days Credit Limit: $15,000
	Invoice Number	Invoice Date	Due Date	Amount	Customer Total
	67915	February 20	March 22	$1,946.40
	61190	January 2	February 1	6,763.10	$8,709.50
Customer:	Jafferty Sporting Goods 8466 State Route 33 Elkton, Kansas 76541 507â312â9469				Account 30966 Credit Terms: 15 days Credit Limit: $5,000
	Invoice Number	Invoice Date	Due Date	Amount	Customer Total
	74555	March 22	April 6	$4,067.99	$4,067.99
Customer:	Kansas Department of Recreation andSafety 8466 State Route 33 Gray Mountain, Kansas 76529 507â226â6881				Account 29667 Credit Terms: 30 days Credit Limit: $25,000
	Invoice Number	Invoice Date	Due Date	Amount	Customer Total
	78021	April 30	May 30	$10,646.20
	77216	April 16	May 16	6,653.15
	77089	April 15	May 15	975.63
	75663	April 1	May 1	299.00
	74277	March 15	April 14	1,104.13
	73586	March 7	April 6	655.31
	67644	February 20	March 22	1,843.83	$22,177.25
Customer:	Pup Scouts of Devron 9064 State Route 16 Devron, Kansas 76588 507â312â3126				Account 33117 Credit Terms: 15 days Credit Limit: $10,000
	Invoice Number	Invoice Date	Due Date	Amount	Customer Total
	77911	April 20	May 5	$9,737.91
	75559	March 29	April 13	220.04	$9,957.95
Customer:	Regents Athletic Club 22 West Adams Way Devron, Kansas 76588 507â945â2149				Account 30846 Credit Terms: 30 days Credit Limit: $5,000
	Invoice Number	Invoice Date	Due Date	Amount	Customer Total
	66268	January 25	March 24	$2,678.59
	61119	January 2	February 1	862.35	$3,540.94
Customer:	Buddy's Sports Buff 212 Oak Street Silver Horn, Kansas 76557 507â399â7761				Account 16200 Credit Terms: 30 days Credit Limit: $10,000
	Invoice Number	Invoice Date	Due Date	Amount	Customer Total
	77115	April 15	May 15	$8,046.40
	70564	March 15	April 14	1,774.92	$9,821.32

Customer Name	Total Account Balance	Current Balance		Past Due Balances
		Current Balance		1â30 days		31â60 days		Over 60 days
		Invoice #	Amount	Invoice #	Amount	Invoice #	Amount	Invoice #	Amount

Mar.	1		Purchased $40,000 of merchandisefrom Van Industries, invoice dated March 1, terms 3/15, n/30.
	2		Sold merchandise on credit to MinCho, Invoice No. 854, for $16,000 (cost is $8,000).
	3	(a)	Purchased $1,200 of office supplieson credit from Gabel Company, invoice dated March 3, terms n/10EOM.
	3	(b)	Sold merchandise on credit to LindaWitt, Invoice No. 855, for $8,000 (cost is $4,000).
	6		Borrowed $72,000 cash from FederalBank by signing a long-term note payable.
	9		Purchased $20,000 of officeequipment on credit from Spell Supply, invoice dated March 9, termsn/10 EOM.
	10		Sold merchandise on credit toJovita Albany, Invoice No. 856, for $4,000 (cost is $2,000).
	12		Received payment from Min Cho forthe March 2 sale less the discount.
	13	(a)	Sent Van Industries Check No. 416in payment of the March 1 invoice less the discount.
	13	(b)	Received payment from Linda Wittfor the March 3 sale less the discount.
	14		Purchased $34,000 of merchandisefrom the CD Company, invoice dated March 13, terms 3/10, n/30.
	15	(a)	Issued Check No. 417, payable toPayroll, in payment of sales salaries expense for the first half ofthe month, $15,200. Cashed the check and paid the employees.
	15	(b)	Cash sales for the first half ofthe month are $64,000 (cost is $51,200). (Cash sales are recordeddaily, but are recorded only twice here to reduce repetitiveentries.)
	16		Purchased $1,720 of store supplieson credit from Gabel Company, invoice dated March 16, terms n/10EOM.
	17		Received a $3,400 credit memorandumfrom CD Company for the return of unsatisfactory merchandisepurchased on March 14.
	19		Received a $600 credit memorandumfrom Spell Supply for office equipment received on March 9 andreturned for credit.
	20		Received payment from Jovita Albanyfor the sale of March 10 less the discount.
	23		Issued Check No. 418 to CD Companyin payment of the invoice of March 13 less the March 17 return andthe discount.
	27		Sold merchandise on credit toJovita Albany, Invoice No. 857, for $12,000 (cost is $4,800).
	28		Sold merchandise on credit to LindaWitt, Invoice No. 858, for $4,800 (cost is $1,920).
	31	(a)	Issued Check No. 419, payable toPayroll, in payment of sales salaries expense for the last half ofthe month, $15,200. Cashed the check and paid the employees.
	31	(b)	Cash sales for the last half of themonth are $70,400 (cost is $42,240).
	31	(c)	Verify that amounts impactingcustomer and creditor accounts were posted and that any amountsthat should have been posted as individual amounts to the generalledger accounts were posted. Foot and crossfoot the journals andmake the month-end postings.

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S. No	Invoice Number	Invoice Date	Credit Terms	Invoice Amounts
1.	2456	January 5	2/10, n/30	$3,000.00
2.	7895	January 7	3/10, n/30	$5,500.00
3.	6785	January 12	2/15, n/60	$729.95
4.	7859	January 23	2/10, n/30	$1,526.50