Journalizing Transactions... Are they correct or not?
Jan. 1 Albert began his business by investing $50,000 cash by transferring this amount from his personal bank account to Jersey Travel bank account.
Cash debit 50000/capital credit 50000
Correct?
Jan. 1 Purchased Office Equipment for $15,000 from Kearney Stores paying $3,000 cash and signed a 6-month, 10% note for the balance.
Equipment debit 15000/cash credit 3000/note payable credit 12000
Correct?
Jan. 2 Signed a contract to rent an office for $1,000 a month.
Empty because he didn't pay
Correct?
Jan. 14 Completed travel services and billed the customers $5,000.
Accounts receivable debit 5000/revenue credit 5000
Correct?
Jan. 18 Purchased office supplies from Kearney stores on account for $4,500.
Supplies debit 4500/accounts payable credit 4500
Correct?
Jan. 25 Hired 4 employees for $1,200 each starting February 1.
Empty because he didn't pay
Correct?
Jan. 29 Completed travel services for a group of tourists for $3,500 cash.
Cash debit 3500/revenue credit 3500
Correct?
Jan. 31 Paid the following expenses: $1,000 rent expense, $600 utilities expense, $900 advertising expense, and $300 miscellaneous expense.
Expense debit 2800/cash credit 2800
Correct?
Feb. 1 Paid $6,000 for a one-year insurance policy.
Insurance expense debit 6000/prepaid insurance credit 6000
Correct?
Feb. 6 received $2,500 from customers for the services provided on January 14.
Cash debit 2500/accounts receivable credit 2500
Correct?
Feb. 10 Paid $1,500 to Kearney stores for the office supplies purchased on account on January 18.
Accounts payable debit 1500/cash credit 1500
Correct?
Feb. 18 Rendered travel services for Kent Company for $8,000. $3,000 was collected in cash, and Kent Company was billed for the balance.
Cash debit 3000/accounts receivable debit 5000/revenue credit 8000
Correct?
Feb 23 Purchased office supplies for $2,000 cash.
Supplies debit 2000/cash credit 2000
Correct?
Feb 26 Received $1,000 from customers for the services provided on January 14.
Cash debit 1000/accounts receivable credit 1000
Correct?
Feb 28 Paid the following expenses: $1,000 rent expense, $4,800 salaries expense, $500 utility expense, and $200 miscellaneous expense.
Expense debit 6500/cash credit 6500
Correct?
Mar. 1 Purchased furniture for $18,000 on account from American Furniture Company.
Furniture debit 18000/accounts payable credit 18000
Correct?
Mar. 8 Paid $400 for telephone expense.
Expense debit 400/cash credit 400
Correct?
Mar. 10 Albert withdrew $5,000 cash for personal use.
Drawings debit 5000/cash credit 5000
Correct?
Mar. 13 Collected $1,500 from Kent Company for the services provided on February 18.
Cash debit 1500/accounts receivable credit 1500
Correct?
Mar. 17 Completed travel services to customers for $12,000 on account.
Accounts receivable debit 12000/revenue credit 12000
Correct?
Mar. 22 Received $3,000 from customers for the services provided on March 17.
Cash debit 3000/accounts receivable credit 3000
Correct?
Mar. 24 Received $5,000 cash in advance from Denton Company to provide travel services in the near future.
Cash debit 5000/unearned revenue credit 5000
Correct?
Mar. 27 Paid $2,000 to Kearney stores for the office supplies purchased on account on January 18.
Accounts payable debit 2000/cash credit 2000
Correct?
Mar. 30 Paid the following expenses for March: $2,800 salaries expense, $1,000 rent expense, $150 miscellaneous expense, and $500 advertising expense.
Expense debit 4450/cash credit 4450
Correct?
Mar. 31 Paid $3,000 to American Furniture Company for the furniture purchased on account on March 1.
Accounts payable debit 3000/cash credit 3000
Correct?
