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-   -   Journalizing Transactions (https://www.askmehelpdesk.com/showthread.php?t=405262)

  • Oct 12, 2009, 01:59 PM
    pavulon911
    Journalizing Transactions
    :confused:I have to journalize the following transactions however I am having troubles deciding which accounts are being affected! Is my work correct so far?:confused:


    Melody invested 20000 cash and a car worth $15000 into the business

    Cash 20000DR
    Car 15000 DR
    Capital 35000 CR

    She purchased a used oven for 26400 paying 6400 cash and signing a note payable for the balance

    Equipment 26400DR
    Cash 6400 CR
    Note payable 20000 CR

    Paid $1200 on a year insurance policy, effective July 1

    Insurance expense?
    Cash?

    Billed customers 4000 for cooking lessons

    Accounts receivable?
    Cash?

    Withdrew 1200 cash for personal use

    Withdrawals?
    Capital?

    Paid gas and oil for the month on car,550

    Gas and oil expense?
    Cash?

    Billed customers 3000 for cooking lessons for the month

    Accounts receivable?
    Cash?


    Thanks for your time!
  • Oct 13, 2009, 07:42 PM
    ROLCAM

    Melody invested 20000 cash and a car worth $15000 into the business

    Cash 20000DR
    Car 15000 DR
    Capital 35000 CR

    O. K.
    ------------------------------------------------------

    She purchased a used oven for 26400 paying 6400 cash and signing a note payable for the balance

    Equipment 26400DR
    Cash 6400 CR
    Note payable 20000 CR

    O.K.
    ------------------------------------------------------

    Paid $1200 on a year insurance policy, effective July 1

    Insurance expense?
    Cash?

    O.K.
    -----------------------------------------------------

    Billed customers 4000 for cooking lessons

    Accounts receivable?
    FEES COOKING LESSONS.

    ------------------------------------------------------

    Withdrew 1200 cash for personal use

    Withdrawals?
    Capital?

    NO

    WITHDRAWALS A/C
    CASH A/C
    ------------------------------------------------------



    Paid gas and oil for the month on car,550

    Gas and oil expense?
    Cash?

    O.K.
    ------------------------------------------------------

    Billed customers 3000 for cooking lessons for the month

    Accounts receivable?
    FEES COOKING LESSONS A/C.

    -----------------------------------------------------

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