Question

How to make a General Journal with the following transactions:

date, account title and explanations, debit,credit

Business ABC Solutions went into effect December 1, 2017 as a sole proprietorship. These transactions take place during the month of December:

Dec. 1    To start the business, Andy deposits $60,000 into the ABC Solution’s bank account.

Dec. 1    ABC Solutions purchased a office building for $250,000, paying $20,000 cash, and assuming a mortgage with a bank for the rest. The Mortgage is for 30 years at 4% per annum.

Dec. 1    Purchased supplies on account for $1,350.

Dec. 2    Received $7,500 cash for Consulting service to be provided to customers in December.

Dec. 2    Paid a premium of $2,400 on a comprehensive insurance policy covering liability, theft, and fire. The policy covers a 1 year period, to November 30, 2018.

Dec. 2    Paid rent for the month of December, $2,000. This is for temporary storage month to month.

Dec. 3    ABC Solutions received $3,600 for three months’ rent beginning December 1^st for a local retailer to rent the ground floor of the office building (which was purchased Dec 1).

Dec. 11 Paid creditors $400 for the Dec. 1^st supplies purchase.

Dec. 16 Completed work for prepaid Consulting service from Dec. 2.

Dec. 31 Received $2,870 cash from Consulting service completed the last few days of December.

Dec. 31 Andy withdrew $2,000 from the company bank account for his own personal use.

Answer 1

Journal entry :

Date	account and explanation	debit	credit
Dec 1	Bank	60000
	Owner's equity		60000
	(To record business start)
Dec 1	Office building	250000
	Cash		20000
	Mortgage loan		230000
	(To record purchase building)
Dec 1	Supplies	1350
	Account payable		1350
	(To record purchase supplies)
Dec 2	Cash	7500
	Unearned revenue		7500
	(To record service revenue)
Dec 2	Prepaid insurance	2400
	Cash		2400
	(To record prepaid insurance)
Dec 2	Rent expense	2000
	Cash		2000
	(To record rent expense)
Dec 3	Cash	3600
	Unearned rent revenue		3600
	(TO record unearned rent)
Dec 11	Account payable	400
	Cash		400
	(To record amount paid)
Dec 16	Unearned revenue	7500
	Service revenue		7500
	(To record revenue)
Dec 31	Cash	2870
	Service revenue		2870
	(To record revenue)
Dec 31	Owner's drawing	2000
	Cash		2000
	(TO record owner's drawing)