Question

Prepare journal entries for each transaction and identify the financial statement impact of each entry.
  
The financial statements are automatically generated based on the journal entries recorded.

Jan.		1		Susan Allen, owner, invested $148,750 cash in the company.
Jan.		2		The company purchased office supplies for $2,850 cash.
Jan.		3		The company purchased $10,050 of office equipment on credit.
Jan.		4		The company received $18,700 cash as fees for services provided to a customer.
Jan.		5		The company paid $10,050 cash to settle the payable for the office equipment purchased on January 3.
Jan.		6		The company billed a customer $4,300 as fees for services provided.
Jan.		7		The company paid $2,825 cash for the monthly rent.
Jan.		8		The company collected $2,325 cash as partial payment for the account receivable created on January 6.
Jan.		9		Susan Allen withdrew $12,100 cash from the company for personal use.

Answer 1

Date	Account Titles	Debit	Credit
Jan. 1	Cash	1,48,750
	Susan Allen's Capital		1,48,750
Jan. 2	Office Supplies	2,850
	Cash		2,850
Jan. 3	Office Equipment	10,050
	Accounts Payable		10,050
Jan. 4	Cash	18,700
	Fees for Services		18,700
Jan. 5	Accounts Payable	10,050
	Cash		10,050
Jan. 6	Accounts Receivable	4,300
	Fees for Services		4,300
Jan. 7	Rent Expense	2,825
	Cash		2,825
Jan. 8	Cash	2,325
	Accounts Receivable		2,325
Jan. 9	Susan Allen's drawings	12,100
	Cash		12,100

Income Statement
For the Month January
Fees for Services		23,000
Office Supplies	2,850
Rent Expense	2,825
Tota Expenses		5,675
Net income		17,325
Balance Sheet
as at January 31
Assets:
Office Equipment		10,050
Accounts Receivable		1,975
Cash		1,41,950
		1,53,975
Liabilities and owners Capital:
Liabilities:
Total Liabilities		-
Owners Capital:
Susan Allen's capital	1,48,750
Add: Net income	17,325
Less: Drawings	-12,100
Total Capital		1,53,975
Total Liabilities and owners Capital		1,53,975