In: Accounting
how do you journalize these entries?
Pat invested 16000cash and 10200 worth of snow equipment into the plowing company
Paid rent 6 months in advance for garage space 2400
Purchased office equipment from Lang Corp for 12000 on account
Purchased snow supplies for 300 cash
Collected 8000 from plowing local shopping centers
Pat Munro withdrew 8000 from the business for personal use
Plowed Mayfield parking lots payment not to be recieved until March, 5000
Paid salaries to employees, 2200
Paid Lang Corp one half amount owed for office equipment
Advertinsing bill recieved from taft co, but will not be paid until March, 800
Paid telephone bill, 140
Date | Title | Debit | Credit |
Cash | $ 16,000 | ||
Equipment | $ 10,200 | ||
Capital | $ 26,200 | ||
(To record receipt of cash and equipment as capital) | |||
Prepaid rent | $ 2,400 | ||
Cash | $ 2,400 | ||
(To record prepayment of rent) | |||
Office equipment | $ 12,000 | ||
Accounts payable - Lang Corp | $ 12,000 | ||
(To record purchase of office equipment on account) | |||
Supplies | $ 300 | ||
Cash | $ 300 | ||
(To record purchase of supplies for cash) | |||
Cash | $ 8,000 | ||
Service revenue | $ 8,000 | ||
(To record collection from plowing) | |||
Withdrawals | $ 8,000 | ||
Cash | $ 8,000 | ||
(To record withdrawals by owner) | |||
Accounts receivable | $ 5,000 | ||
Service revenue | $ 5,000 | ||
(To record service rendered in account) | |||
Salaries expenses | $ 2,200 | ||
Cash | $ 2,200 | ||
(To record payment of salaries expense) | |||
Accounts payable - Lang Corp ($12,000/2) | $ 6,000 | ||
Cash | $ 6,000 | ||
(To record paymentof half amount on account) | |||
Advertising expenses | $ 800 | ||
Accounts payable | $ 800 | ||
(To record advertising expense on account) | |||
Telephone expenses | $ 140 | ||
Cash | $ 140 | ||
(To record payment of telephone expenses |
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