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Journalize the following transactions for October. Entries should be posted daily/immediately.

Journalize the following transactions for October. Entries should be posted daily/immediately.

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Please write a general journal and general ledger (date, description, account#, debit, credit).  

Required: Journalize the following transactions for October. Entries should be posted daily/immediately. Due to the order of posting, it is possible that an account with a normal debit balance may temporarily have a credit balance (and vice versa). Do not worry - at the end of the month, after all the posting has been completed, everything will work out properly. Remember - a journal entry is not complete without a description! Transactions: Oct 1 Oct 1 Oct 1 Oct 1 Oct 1 This content is protected and may not be shared, uploaded, or distributed Oct 1 Oct 1 Brooke Riley contributes the following to start the business: Cash, $15,000; Merchandise Inventory (she has saved up certain rare books and other items over the years), $42,000. Ms. Riley is the only stockholder and is issued 5,700 shares of $10 par common stock. Paid first and last month's rent, $5,000 total (this amount covers two months' rent - October, Year 1 and some future month at the end of the business operations), to Vroman's Property Co. (Assume the entire rent amount is paid for the retail store space; no rent is to be allocated to "office space".) Borrowed $40,000 from Page Bank, on a five-year, 12% note, with interest only to be paid at each year-end (December 31) and principal due October 2 Year 6. Purchased office furniture from Bailey Furniture Company, $16,100, cash. The useful life is ten years and the salvage value is $1,100. Brooke's Books uses straight line depreciation. Purchased some inventory on account from Arbitrary House Publishers, $50,500, terms 2/10, N/30. As soon as the store opens the doors, ten customers walk in ready to spend money, and they do. Total cash sales for the day, $1,000. The cost of the related merchandise sold was $846. As soon as the online store opens, we sell three online customers merchandise on account: . . J. Rowling, first edition, autographed copy of The Velveteen Rabbit sold for $1,450. The cost of the merchandise was $1,160. R. Rowell, antique rotary telephone sold for $1,700. The cost of the merchandise was $1,190. M. Twain, upcycled white picket fence bookcase sold for $4,400. The cost of the merchandise was $2,000. 3
Transcribed Image Text:Required: Journalize the following transactions for October. Entries should be posted daily/immediately. Due to the order of posting, it is possible that an account with a normal debit balance may temporarily have a credit balance (and vice versa). Do not worry - at the end of the month, after all the posting has been completed, everything will work out properly. Remember - a journal entry is not complete without a description! Transactions: Oct 1 Oct 1 Oct 1 Oct 1 Oct 1 This content is protected and may not be shared, uploaded, or distributed Oct 1 Oct 1 Brooke Riley contributes the following to start the business: Cash, $15,000; Merchandise Inventory (she has saved up certain rare books and other items over the years), $42,000. Ms. Riley is the only stockholder and is issued 5,700 shares of $10 par common stock. Paid first and last month's rent, $5,000 total (this amount covers two months' rent - October, Year 1 and some future month at the end of the business operations), to Vroman's Property Co. (Assume the entire rent amount is paid for the retail store space; no rent is to be allocated to "office space".) Borrowed $40,000 from Page Bank, on a five-year, 12% note, with interest only to be paid at each year-end (December 31) and principal due October 2 Year 6. Purchased office furniture from Bailey Furniture Company, $16,100, cash. The useful life is ten years and the salvage value is $1,100. Brooke's Books uses straight line depreciation. Purchased some inventory on account from Arbitrary House Publishers, $50,500, terms 2/10, N/30. As soon as the store opens the doors, ten customers walk in ready to spend money, and they do. Total cash sales for the day, $1,000. The cost of the related merchandise sold was $846. As soon as the online store opens, we sell three online customers merchandise on account: . . J. Rowling, first edition, autographed copy of The Velveteen Rabbit sold for $1,450. The cost of the merchandise was $1,160. R. Rowell, antique rotary telephone sold for $1,700. The cost of the merchandise was $1,190. M. Twain, upcycled white picket fence bookcase sold for $4,400. The cost of the merchandise was $2,000. 3
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