Question

PRACTICE EXERCISES LARSON VOL.1 CHAPTER 2 TB 02-114 Dawn Roberts is a real estate consultant Dawn Roberts is a real estate consultant and property manager. Below are the names of several accounts in her ledger with each account name preceded by a number. Following the account names are several transactions completed by Ms. Roberts. Indicate the accounts debited and credited in recording each transaction by placing the proper account numbers in the boxes to the right of each transaction (1) Accounts Payable (9) Management revenue (2) Accounts Receivable (10) Prepaid Insurance (3) Appraisal Service Revenue(11) Salaries Expense (4) Cash (12) Telephone Expense (5) Insurance Expense (13) Uneamed Appraisal Service Revenue (6) Office Equipment (14) Unearned Management Revenue (7) Office Supplies (15) Dawn Roberts, Capital (8) Office Supplies Expense (16) Dawn Roberts, Withdrawals Example: Completed an appraisal for a client who promised to pay at a later date. (1) Received payment in advance for managing an office building. (2) Purchased office supplies on credit. (3) Dawn Roberts paid her home phone bill with funds from the company bank account. There were no business calls on the bill. (4) Received the telephone bill of the business and immediately paid it. (5) Paid the salary of the office assistant (6) Paid for the supplies purchased in Transaction 2. (7) Complete an appraisal for a client and immediately collected cash for the work done.

Answer 1

Sl.No.	Transaction	Debit	Credit
1	Revenue payment in advance for managing an office building	4 (Cash)	14 (Unearned Management Revenue)
2	Purchased office supplies on credit	7 (Office Supplies)	1 (Accounts Payable)
3	Drawn Robert paid her home phone bill with funds from the company bank account. There were no business calls on the bill	16 (Dawn Robert, Withdrawals)	4 (Cash)
4	Received the telephone bill of the business and immediately paid it	12 (Telephone Expenses)	4 (cash)
5	Paid the salary of the office assistant	11 (Salaries Expense)	4 (Cash)
6	Paid for the supplies puchased in transaction 2	1 (Accounts Payable)	4 (Cash)
7	Complete an appraisal for a client and immediately collected cash for the work done	4 (cash)	3 (Appraisal Service revenue)