Question

The following are transactions of Samantha Payapag Advertising Company for the month of July 2013

Prepare Journal Entries, General Ledger, T- Accounts, Trial Balance, Income Statement, and Balance Sheet

July 3 Samantha Payapag invested 500,000 in the business.

July 5 Bought for cash, advertising supplies costing 80,000. Paid rental of the office, 7,300

July 9 Bought delivery truck from MJ Idos Trading, 350,000 on credit

July 12 Received 43,000 cash as advertising income

July 13 Bought furniture & fixtures, 32,000 in cash

July 17 Took 3,200 cash for personal purposes

July 18 Billed Bernalyn Galvez for the advertising service rendered to promote her product to the market, 10,000

July 23 Paid salaries of the employees, 15,000. Billed Zaldy Co. for the advertising service rendered, 4,000

July 24 Collected 1/2 of the amount Bernalyn Galvez owed to the company

July 26 Purchased another truck amounting to 120,000 from Edwina Motor, Inc. on credit

July 27 Paid MJ Idos Trading 230,000 as partial settlement of the account

July 30 Paid utility expense for the month

Answer 1

Answer:

Date	Accounts	Debit	Credit
July.03	Cash	500,000
	Common stock		500,000
July.05	Advertising supplies	80,000
	Rent expense	7,300
	Cash		87,300
July.09	Delivery truck	350,000
	Account payable		350,000
July.12	Cash	43,000
	Service revenue		43,000
July.13	Furniture & fixtures	32,000
	Cash		32,000
July.17	Drawing	3,200
	Cash		3,200
July.18	Account receivable	10,000
	Service revenue		10,000
July.23	Salaries expense	15,000
	Cash		15,000
July.23	Account receivable	4,000
	Service revenue		4,000
July.24	Cash	5000
	Account receivable		5000
July.26	Delivery truck	120,000
	Account payable		120,000
July.27	Account payable	230000
	Cash		230000

Trial Balance
Accounts	Debit	Credit
Cash	180,500
Common stock		500,000
Advertising supplies	80,000
Rent expense	7,300
Delivery truck	470,000
Account payable		240,000
Service revenue		57,000
Furniture & fixtures	32,000
Drawing	3,200
Account receivable	9,000
Salaries expense	15,000
Total	797,000	797,000