[Imhiding]

Cash-$30,000, Inv.-$34,000, Land-$20,000, Bldg-$165,000 & Equip,-$13,500 w/$6,000 equipment assumed by company. The previous amount was in exchange for Capital Stock.

Merchandise cost $52,000 - sold for $32,000 -cash$20,000 and $32,00 within 30 days. Journaled CASH-$32,000, AR-$$32,00, Sales Rev-$52,000, COGS-$32,000 & Inv.-$32,000.
Note pd. Of $6,000 +$500 Int.-Journaled: Notes Payable $6,000, Int. Payable-$500 & CASH-$6,000.
Merchandise purchased$14,000, w/$6,000 cash & issued note $8,000. Journaled: Inv. $14,000, CASH-$6000 & Notes Pay.-$8,000.
$6,000 cash & $6,000 Cap. Stock was exchanged for $12,000 in office equip. Journaled Office Equip-$12,000, CASH-$6,000 & Cap Stock - $6,000.
A truck $25,000 w/$5,000 and a 1 yr note. Journaled Truck-$25,000, Cash-$5,000 & Notes Pay-$20,000.
Trial Balance"
CASH-$27,000
AR-$32,000
Inv-$66,000
Land-$20,000
Bldg-$165,000
Equip-$13,500
Office Equip-$12,000
Truck-$25,000
Notes Payable-$28,000
Capital Stock-$268,500
COGS-$32,000
Int Exp-$500

Total Debit-$361,000 - Credit-$380,500 difference- $19,500 Credit.

I think my mistake is how I journaled. What it sounds like to me is that the 2 of the $6,000 - either Cash or Notes Payable or both $6,000 Cash is the problem and the transaction of in exchange of receiving Cap stock - equip worth $13,500 w/ $6,000 assumed by the company -lft remaining $7,500. If you add $6,000 & $6,000 & $7,500 - you get $19,500 which is the difference.

I am confused of with debit & Credit - can you elaborate the difference and why I went wrong?

Thanks

[pready]

Transaction #1 sold merchandise does not make sense. Was the sale for $52,000 and the cost of merchandise $32,000 or was the amount reversed. It looks like the merhcandise cost $32,000 and the sale was for $52,000 with $20,000 paid in cash and the rest due within 30 days.

The sale would be recorded as:
Debit Cash for 20,000
Debit Accounts Receivable for 32,000
Credit Sales Revenue for 52,000

The cost of merchandise sold will be:
Debit Cost of Goods Sold for 32,000
Credit Inventory for 32,000

For Transaction #2 paid on a note the journal entry will be:
Debit Notes Payable for 6,000
Debit Interest Expense for 500
Credit Cash for 6,500

The other transactions look correct.