Question

Mike Greenberg opened Bridgeport Window Washing Inc. on July 1, 2022. During July, the following transactions were completed.

July 1		Issued 12,300 shares of common stock for $12,300 cash.
1		Purchased used truck for $7,600, paying $2,000 cash and the balance on account.
3		Purchased cleaning supplies for $900 on account.
5		Paid $1,800 cash on a 1-year insurance policy effective July 1.
12		Billed customers $3,300 for cleaning services performed.
18		Paid $900 cash on amount owed on truck and $500 on amount owed on cleaning supplies.
20		Paid $2,200 cash for employee salaries.
21		Collected $1,500 cash from customers billed on July 12.
25		Billed customers $2,700 for cleaning services performed.
31		Paid $280 for maintenance of the truck during month.
31		Declared and paid $600 cash dividend.

The chart of accounts for Bridgeport Window Washing contains the following accounts: Cash, Accounts Receivable, Supplies, Prepaid Insurance, Equipment, Accumulated Depreciation—Equipment, Accounts Payable, Salaries and Wages Payable, Common Stock, Retained Earnings, Dividends, Income Summary, Service Revenue, Maintenance and Repairs Expense, Supplies Expense, Depreciation Expense, Insurance Expense, and Salaries and Wages Expense.

Journalize the July Transactions

Answer 1

Date	General Journal	Debit	Credit
July 1	Cash	$12,300
	Common stock		$12,300
	( To record issuance of common stock)
July 1	Equipment	$7,600
	Cash		$2,000
	Accounts payable		$5,600
	( To record purchase of equipment)
July 3	Supplies	$900
	Accounts payable		$900
	( To record purchase supplies on account)
July 5	Prepaid insurance	$1,800
	Cash		$1,800
	( To record purchase of insurance)
July 12	Accounts receivable	$3,300
	Service revenue		$3,300
	( To record service revenue)
July 18	Accounts payable	$1,400
	Cash		$1,400
	( To record payment to creditors)
July 20	Salaries and waged expense	$2,200
	Cash		$2,200
	( To record payment for salaries)
July 21	Cash	$1,500
	Accounts receivable		$1,500
	( To record amount received from customer)
July 25	Accounts receivable	$2,700
	Service revenue		$2,700
	( To record service revenue)
July 31	Maintenance and repairs expense	$280
	Cash		$280
	( To record maintenance expense)
July 31	Dividends	$600
	Cash		$600
	( To record dividend payment)