Journal: Journal is the book of original entry. Journal consists of the day-to-day financial transactions in a chronological order. The journal has two aspects; they are debit aspect and the credit aspect. Rules of debit and credit: “An increase in an asset account, an increase in an expense account, a decrease in liability account, and a decrease in a revenue account should be debited. Similarly, an increase in liability account, an increase in a revenue account and a decrease in an asset account, a decrease in an expenses account should be credited”. To journalize: The issuance of common stock, the bank loan obtained by issuing note, the purchase of equipment, The payment made for office rent, the payment of supplies, the purchase of advertisement on account, the service rendered partly for cash, and partly on accounts, the dividend paid to stockholders, the payment made for the utility bill, the payment of due for advertisement, the payment of interest for bank loan, the payment of salaries, The cash received from customer, the income tax paid.

Question

Want to see the full answer?

Answer 1

Question

Chapter 3, Problem 3.12E

To determine

Journal:

Journal is the book of original entry. Journal consists of the day-to-day financial transactions in a chronological order. The journal has two aspects; they are debit aspect and the credit aspect.

Rules of debit and credit:

“An increase in an asset account, an increase in an expense account, a decrease in liability account, and a decrease in a revenue account should be debited.

Similarly, an increase in liability account, an increase in a revenue account and a decrease in an asset account, a decrease in an expenses account should be credited”.

To journalize: The issuance of common stock, the bank loan obtained by issuing note, the purchase of equipment, The payment made for office rent, the payment of supplies, the purchase of advertisement on account, the service rendered partly for cash, and partly on accounts, the dividend paid to stockholders, the payment made for the utility bill, the payment of due for advertisement, the payment of interest for bank loan, the payment of salaries, The cash received from customer, the income tax paid.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Students have asked these similar questions

the budgeted manufacturing cost per unit?

The Ivam Department transferred 6,000 units to the finished goods storeroom for a month. There was no beginning work in process inventory, but 800 units were still in process at the end of the month and were 70% complete, and production costs incurred totaled $21,320. Inventory costs would be determined using a unit cost of $____. a. $3.55. b.$3.42. c. $3.25. d. $3.14.

Equipment with a cost of $1,912,000 has an estimated salvage value of $52,000 and an estimated life of 4 years or 47,000 hours. It is to be depreciated using the units-of-activity method. What is the amount of depreciation for the first full year, during which the equipment was used for 9,200 hours?