Journalizing Transactions in Template, Journal Entry Form, and T-Accounts Minute Maid, a firm providing housecleaning services, began business on April 1, 2019. The following transactions occurred during the month of April. April 1 A. Falcon invested $9,000 cash to begin the business in exchange for common stock. April 2: Paid $2,850 cash for six months' lease on van for the business. April 3: Borrowed $10,000 cash from bank and signed note payable agreeing to repay it in 1 year plus 10% interest. April 3: Purchased $5,500 of cleaning equipment; paid $2,500 cash with the remainder due within 30 days. April 4: Paid $4,300 cash for cleaning supplies. April 7: Paid $350 cash for advertisements to run in newspaper during April. April 21: Billed customers $3,500 for services performed. April 23: Paid $3,000 cash on account to cleaning equipment suppliers (see April 3). April 28: Collected $2,300 cash from customers on their accounts. April 29: Paid $1,000 cash for dividends. April 30: Paid $1,750 cash for April wages. April 30: Paid $995 cash to service station for gasoline used during April. a. Record the below transactions for April using the financial statement effects template. b. Record the transactions for April in journal entry form. c. Post the transactions to the appropriate T-accounts. Financial statement effects template Journal entries Note: Use a negative sign with your answers, when appropriate. Balance Sheet Transaction Cash Assets + April 1 April 2 0 0 Noncash Assets T-accounts 0 0 Contributed Liabilities + Capital 0 0 0 0 Earned + Capital 0 0 Revenues 0 0 Income Statement Expenses = Net Income 0 0 0 0
Journalizing Transactions in Template, Journal Entry Form, and T-Accounts Minute Maid, a firm providing housecleaning services, began business on April 1, 2019. The following transactions occurred during the month of April. April 1 A. Falcon invested $9,000 cash to begin the business in exchange for common stock. April 2: Paid $2,850 cash for six months' lease on van for the business. April 3: Borrowed $10,000 cash from bank and signed note payable agreeing to repay it in 1 year plus 10% interest. April 3: Purchased $5,500 of cleaning equipment; paid $2,500 cash with the remainder due within 30 days. April 4: Paid $4,300 cash for cleaning supplies. April 7: Paid $350 cash for advertisements to run in newspaper during April. April 21: Billed customers $3,500 for services performed. April 23: Paid $3,000 cash on account to cleaning equipment suppliers (see April 3). April 28: Collected $2,300 cash from customers on their accounts. April 29: Paid $1,000 cash for dividends. April 30: Paid $1,750 cash for April wages. April 30: Paid $995 cash to service station for gasoline used during April. a. Record the below transactions for April using the financial statement effects template. b. Record the transactions for April in journal entry form. c. Post the transactions to the appropriate T-accounts. Financial statement effects template Journal entries Note: Use a negative sign with your answers, when appropriate. Balance Sheet Transaction Cash Assets + April 1 April 2 0 0 Noncash Assets T-accounts 0 0 Contributed Liabilities + Capital 0 0 0 0 Earned + Capital 0 0 Revenues 0 0 Income Statement Expenses = Net Income 0 0 0 0
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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