Record these transactions into journal

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
icon
Related questions
Topic Video
Question

Business transactions:

On March. 1. Mr. A introduced $50,000 capital in cash into the business.

2. A sum of $30,000 loan borrowed from the Bank at 6% for 5 years.

3. Rent paid of $6,000.

4. Insurance paid $2,400 in advance for two years.

5. Equipment purchased of $10,000 in cash (useful for 5 years).

6. Furniture purchased worth $3,500 in cash (useful for 5 years).

7. Vehicle purchased for business on credit for $5,000 (useful for 5 years).

8. Supplies purchased on account for $1,500.

9. Goods purchased on account for $15,000.

10. Salaries and wages paid for $7,000.

11. Electricity bill paid for $750.

12. Telephone bill paid for $150.

13. Goods to supplier of $100 due to defects.

14. Depreciation expense on equipment for $2,000

15. Depreciation expense on vehicle for $1000.

16. Depreciation expense on furniture for $700

17. Interest expense paid on bank loan for $1,800.

18. Goods sold for $40,250.

19. Mr. A used goods for personal use worth $200.

20. Payment of $14,900 made to supplier for materials purchased on credit.

21. Loan repaid for $6,000.

22. Mr. A withdraws cash of $2,000 for personal use.

23. $5,000 cash deposited into bank.

24. Paid advertising expense of $1,600.

25. Paid water bill for $100.

26. Insurance expense of one year $1,200.

27. Rent expense for this year $6,000.

28. Bad debt expense for $805.

29. Cash received from accounts receivables of $40,250.

30. Materials worth $500 found stole.

Required:

Record these transactions into journal and then post them into ledger using proper format.

(Answer should be in MS word)

Expert Solution
steps

Step by step

Solved in 5 steps with 5 images

Blurred answer
Knowledge Booster
Accounting Equation
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.
Similar questions
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