Chapter 2, Problem 49E

Exercise 2-49 Journalizing Transactions

Kauai Adventures rams and sells surfboards, snorkeling, and scuba equipment. During March, Kauai engaged in the following transactions:

March 2 Received $51,500 cash from customers for rental,

3 Purchased on credit ten new surfboards (which Kauai classifies as inventory) for $180 each.

6 Paid wages to employees in the amount of $9,200.

9 Paid office rem for the month in L1]: amount of$l,000.

12 Purchased a new Ford truck for 340.800: paid 51,000 down in cash and secured a loan from Princeville Bank for the $39,800 balance.

March 13 Collected a $1,050 account receivable.

16 Paid an account payable in the amount of $950.

23 Borrowed $10,000 on a 6-month, 8% note payable.

27 Paid the monthly telephone hill of $185.

30 Paid a monthly advertising bill of $1,550.

Required:

Prepare a journal entry for each of these transactions.