Homework Help is Here – Start Your Trial Now!
Business
Accounting
Following are the transactions of Sustain Company. June 1 T. James, owner, invested $21,000 cash in Sustain Company in exchange for common stock. June 2 The company purchased $14,000 of furniture made from reclaimed wood on credit. June 3 The company paid $2,600 cash for a 12-month prepaid insurance policy on the reclaimed furniture. June 4 The company billed a customer $13,000 for sustainability services provided. June 12 The company paid $14,000 cash toward the payable from the June 2 furniture purchase. June 20 The company collected $13,000 cash for services billed on June 4. June 21 T. James invested an additional $20,000 cash in Sustain Company in exchange for common stock. June 30 The company received $15,000 cash in advance of providing sustainability services to a customer. Prepare general journal entries for the above transactions.

Following are the transactions of Sustain Company. June 1 T. James, owner, invested $21,000 cash in Sustain Company in exchange for common stock. June 2 The company purchased $14,000 of furniture made from reclaimed wood on credit. June 3 The company paid $2,600 cash for a 12-month prepaid insurance policy on the reclaimed furniture. June 4 The company billed a customer $13,000 for sustainability services provided. June 12 The company paid $14,000 cash toward the payable from the June 2 furniture purchase. June 20 The company collected $13,000 cash for services billed on June 4. June 21 T. James invested an additional $20,000 cash in Sustain Company in exchange for common stock. June 30 The company received $15,000 cash in advance of providing sustainability services to a customer. Prepare general journal entries for the above transactions.

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
See similar textbooks
icon
Related questions
Question
Question 1
Following are the transactions of Sustain Company. June 1 T. James, owner, invested $21,000 cash in Sustain Company in exchange for common stock. June 2 The company purchased $14,000 of furniture made from reclaimed wood on credit. June 3 The company paid $2,600 cash for a 12-month prepaid insurance policy on the reclaimed furniture. June 4 The company billed a customer $13,000 for sustainability services provided. June 12 The company paid $14,000 cash toward the payable from the June 2 furniture purchase. June 20 The company collected $13,000 cash for services billed on June 4. June 21 T. James invested an additional $20,000 cash in Sustain Company in exchange for common stock. June 30 The company received $15,000 cash in advance of providing sustainability services to a customer. Prepare general journal entries for the above transactions. Answer is not complete. Debit Credit No Date General Journal Cash 21,000 O June 01 14,000 2 June 02 Furniture 2,600 3 June 03 Prepaid insurance
Transcribed Image Text:Following are the transactions of Sustain Company. June 1 T. James, owner, invested $21,000 cash in Sustain Company in exchange for common stock. June 2 The company purchased $14,000 of furniture made from reclaimed wood on credit. June 3 The company paid $2,600 cash for a 12-month prepaid insurance policy on the reclaimed furniture. June 4 The company billed a customer $13,000 for sustainability services provided. June 12 The company paid $14,000 cash toward the payable from the June 2 furniture purchase. June 20 The company collected $13,000 cash for services billed on June 4. June 21 T. James invested an additional $20,000 cash in Sustain Company in exchange for common stock. June 30 The company received $15,000 cash in advance of providing sustainability services to a customer. Prepare general journal entries for the above transactions. Answer is not complete. Debit Credit No Date General Journal Cash 21,000 O June 01 14,000 2 June 02 Furniture 2,600 3 June 03 Prepaid insurance
June 21 T. James invested an additional $20,000 cash in Sustain Company in exchange for common stock. June 30 The company received $15,000 cash in advance of providing sustainability services to a customer. Prepare general journal entries for the above transactions. X Answer is not complete. No Date General Journal Debit Credit June 01 Cash 21,000 O June 02 Furniture 14,000 June 03 Prepaid insurance 2,600 O 4 June 04 Accounts receivable 13,000 June 12 Accounts payable 14,000 June 20 Cash 13,000 7 June 21 Cash 20,000 8 June 30 Cash 15,000
Transcribed Image Text:June 21 T. James invested an additional $20,000 cash in Sustain Company in exchange for common stock. June 30 The company received $15,000 cash in advance of providing sustainability services to a customer. Prepare general journal entries for the above transactions. X Answer is not complete. No Date General Journal Debit Credit June 01 Cash 21,000 O June 02 Furniture 14,000 June 03 Prepaid insurance 2,600 O 4 June 04 Accounts receivable 13,000 June 12 Accounts payable 14,000 June 20 Cash 13,000 7 June 21 Cash 20,000 8 June 30 Cash 15,000
Expert Solution
Step 1

Introduction:

Journals:

Recording of a business transactions in a chronological order.

First step in the preparation of final accounts is recording journals.

trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 2 steps with 2 images

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Knowledge Booster
Financial Reporting in Hyperinflationary Economies
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education
SEE MORE TEXTBOOKS