Sonya Jared opened a law office on July 1, 2022. On July 31, the balance sheet showed Cash $5.000, Accounts Receivable $1,500. Supplies $500 Equipment $6,000. Accounts Payable $4.200, and Owner's Capital $8.800 During August, the following transactions OCCurred. Collected $1,200 of accounts receivable. 2. Paid $2,800 cash on accounts payable. Recognized revenue of $7,500 of which $4,000 is collected in cash and the balance is due in September. 4. Purchased additional equipment for $2.000, paying $400 in cash and the balance on account. Paid salaries $2,800, rent for August $900, and advertising expenses $400. Withdrew $700 in cash for personal use. Received $2,000 from Standard Federal Bank–money borrowed on a note payable. 8. Curred utility expenses for month on account $270.

Sonya Jared opened a law office on July 1, 2022. On July 31, the balance sheet showed Cash $5.000, Accounts Receivable $1,500. Supplies $500 Equipment $6,000. Accounts Payable $4.200, and Owner's Capital $8.800 During August, the following transactions OCCurred. Collected $1,200 of accounts receivable. 2. Paid $2,800 cash on accounts payable. Recognized revenue of $7,500 of which $4,000 is collected in cash and the balance is due in September. 4. Purchased additional equipment for $2.000, paying $400 in cash and the balance on account. Paid salaries $2,800, rent for August $900, and advertising expenses $400. Withdrew $700 in cash for personal use. Received $2,000 from Standard Federal Bank–money borrowed on a note payable. 8. Curred utility expenses for month on account $270.

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter3: Analyzing And Recording Transactions

Section: Chapter Questions

Problem 9PB: Prepare journal entries to record the following transactions. Create a T-account for Cash, post any...

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