Question

Bramble Corp. provides security services. Selected transactions for Bramble Corp. are presented below.

Oct. 1		Issued common stock in exchange for $50,000 cash from investors.
2		Hired part-time security consultant. Salary will be $2,000 per month. First day of work will be October 15.
4		Paid 1 month of rent for building for $2,000.
7		Purchased equipment for $14,000, paying $3,000 cash and the balance on account.
8		Paid $500 for advertising.
10		Received bill for equipment repair cost of $300.
12		Provided security services for event for $2,500 on account.
16		Purchased supplies for $350 on account.
21		Paid balance due from October 7 purchase of equipment.
24		Received and paid utility bill for $120.
27		Received payment from customer for October 12 services performed.
31		Paid employee salaries and wages of $4,001.

Question: Post the transactions to T-accounts.

I've gotten this problem wrong a few times now, as I don't know where things are supposed to be placed. Some of them are duplicated...??

Answer 1

Cash					Common Stock
Oct 1	$50000	Oct 4	2000				Oct 1	50000
Oct 27	2500	Oct 7	3000
		Oct 8	500
		Oct 21	11000
		Oct 24	120
		Oct 31	4001
Oct 31	$31879						Oct 31	$50000
Rent expense					Equipment
Oct 4	2000				Oct 7	14000
Oct 31	$2000				Oct 7	$14000
Account payable					Advertising expense
Oct 21	11000	Oct 7	11000		Oct 8	500
		Oct 10	300
		Oct 16	350		Oct 31	$500
		Oct 31	$650
Repairs expense					Account receivable
Oct 10	300				Oct 12	2500	Oct 27	2500
Oct 31	$300
Service revenue					Supplies
		Oct 12	2500		Oct 16	350
		Oct 31	$2500		Oct 31	$350
Utilities expense					Salaries and wages expense
Oct 24	120				Oct 31	4001
Oct 31	$120				Oct 31	$4001

Oct 2 No Journal Entry Required as the Bramble Co. hired part-time security consultant.