d
Journal | ||||
In the books of Mechanical Engineers | ||||
Date | Particulars | Dr/Cr. | Dr ($) | Cr ($) |
2-Jan | Bank A/c | Dr | 50,000 | |
To Equity Share Capital A/c | Cr | 50,000 | ||
(Being Common stocks purchased) | ||||
2-Jan | Land A/c | Dr | 30,000 | |
To Bank A/c | Cr | 10,000 | ||
To 6% Note Payable A/c | Cr | 20,000 | ||
(Being land purchased by part payment down and part by note payable) | ||||
5-Jan | Office Supplies | Dr | 10,000 | |
To Accounts Payable A/c | Cr | 10,000 | ||
(Being Office supplies purchased) | ||||
6-Jan | Accounts Payable A/c | Dr | 1,500 | |
To Bank A/c | Cr | 1,500 | ||
(Being electricity bill previously accruded paid now) | ||||
7-Jan | Travel Expense A/c | Dr | 1,900 | |
To Bank A/c | Cr | 1,900 | ||
(Being travel expense paid) | ||||
9-Jan | Bank A/c | Dr | 47,000 | |
To Sale of services A/c | Cr | 47,000 | ||
(Being amount collected towards professional services provided) | ||||
10-Jan | Advertising A/c | Dr | 4,000 | |
To Bank A/c | Cr | 4,000 | ||
(Being Advertising expense paid) | ||||
15-Jan | Salaries A/c | Dr | 26,000 | |
To Cash A/c | Cr | 26,000 | ||
(Being salaries expense paid) | ||||
15-Jan | Dividend Payable A/c | Dr | 10,000 | |
To Bank A/c | Cr | 10,000 | ||
(Being dividends declared paid) | ||||
16-Jan | Bank A/c | Dr | 21,000 | |
To Unearned Revenue | Cr | 21,000 | ||
(Being amount received in advance customers) | ||||
24-Jan | Debtors A/c | Dr | 24,000 | |
To Sale of Services A/c | Cr | 24,000 | ||
(Being professional services provided and billed) | ||||
26-Jan | Bank A/c | Dr | 28,000 | |
To Debtors A/c | Cr | 28,000 | ||
(Being amount collected from client) | ||||
27-Jan | Bank A/c | Dr | 48,000 | |
To Sale of services A/c | Cr | 48,000 | ||
(Being amount collected towards professional services provided) | ||||
28-Jan | Advertising A/c | Dr | 6,000 | |
To Bank A/c | Cr | 6,000 | ||
(Being Advertising expense paid) | ||||
29-Jan | Travel Expense A/c | Dr | 2,600 | |
To Bank A/c | Cr | 2,600 | ||
(Being travel expense paid) | ||||
31-Jan | Salaries A/c | Dr | 28,000 | |
To Cash A/c | Cr | 28,000 | ||
(Being salaries expense paid) | ||||
31-Jan | Gas and Electric Utility A/c | Dr | 1,900 | |
To Accounts Payable A/c | Cr | 1,900 | ||
(Being gas and electricity bill received but not paid) | ||||
31-Jan | Retained Earnings A/c | Dr | 15,000 | |
To Dividend Payable A/c | Cr | 15,000 | ||
(Being dividend declared but not paid on 25,000 shared) |
Problem 3.3 (continued) The following transactions occurred during January of 20X2: January 2 Shareholders bought 1,000...
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