On 1 August 2019 Nicole Andrew opened a beauty parlour. The following transactions occurred during the first month of operations (ignore GST). Aug 1 Andrew invested $150,000 in the business by depositing cash into a business cheque account with the Northpac Bank 2 Purchased equipment which has a total cost $65,000. $30,000 was paid by an online bank transfer and the remaining amount was paid by signing a commercial bank loan. 3 Paid $2,000 for the first month’s rent 4 Purchased supplies for $9,400 5 Paid advertising expense of $990 using an online bank transfer 16 Recorded beauty services revenue for the first half of the month of $3350 in cash and &630 on credit 20 Received a $180 payment from customers who paid on credit in the first half of the month 28 Andrew withdrew $660 cash for personal living expenses 30 Recorded revenue for the second half of the month $3690 in cash and $600 on credit 31 Paid electricity bill of $520 by electronic transfer Required Prepare the general journal entries to record the above transactions in the month of August 2019.
Questions 2 Recording transactions in
On 1 August 2019 Nicole Andrew opened a beauty parlour. The following transactions occurred during the first month of operations (ignore GST).
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Aug |
1 |
Andrew invested $150,000 in the business by depositing cash into a business |
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cheque account with the Northpac Bank |
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2 |
Purchased equipment which has a total cost $65,000. $30,000 was paid by an |
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online bank transfer and the remaining amount was paid by signing a |
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commercial bank loan. |
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3 |
Paid $2,000 for the first month’s rent |
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4 |
Purchased supplies for $9,400 |
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5 |
Paid advertising expense of $990 using an online bank transfer |
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16 |
Recorded beauty services revenue for the first half of the month of $3350 in |
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cash and &630 on credit |
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20 |
Received a $180 payment from customers who paid on credit in the first half |
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of the month |
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28 |
Andrew withdrew $660 cash for personal living expenses |
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30 |
Recorded revenue for the second half of the month $3690 in cash and $600 |
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on credit |
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31 |
Paid electricity bill of $520 by electronic transfer |
Required
Prepare the general journal entries to record the above transactions in the month of August 2019.
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