Question

The transactions of Spade Company appear below.

1. Kacy Spade, owner, invested $14,500 cash in the company in exchange for common stock.
2. The company purchased office supplies for $421 cash.
3. The company purchased $8,019 of office equipment on credit.
4. The company received $1,711 cash as fees for services provided to a customer.
5. The company paid $8,019 cash to settle the payable for the office equipment purchased in transaction c.
6. The company billed a customer $3,074 as fees for services provided.
7. The company paid $515 cash for the monthly rent.
8. The company collected $1,291 cash as partial payment for the account receivable created in transaction f.
9. The company paid $900 cash in dividends to the owner (sole shareholder).

Required:
1. Prepare general journal entries to record the transactions above for Spade Company by using the following accounts: Cash; Accounts Receivable; Office Supplies; Office Equipment; Accounts Payable; Common Stock; Dividends; Fees Earned; and Rent Expense. Use the letters beside each transaction to identify entries.
2. Post the above journal entries to T-accounts, which serve as the general ledger for this assignment.
The transactions of Spade Company appear below. a. Kacy Spade, owner, invested $14,500 cash in the company in exchange for common stock. b. The company purchased office supplies for $421 cash. c. The company purchased $8,019 of office equipment on credit. d. The company received $1,711 cash as fees for services provided to a customer. e. The company paid $8,019 cash to settle the payable for the office equipment purchased in transaction c. f. The company billed a customer $3,074 as fees for services provided. h.The company cole tec $129/ ash an parial pment for the account receivable created in transaction paid $515 cash for the monthly rent h. The company collected $1,291 cash as partial payment for the account receivable created in transaction f i. The company paid $900 cash in dividends to the owner (sole shareholder). Required: 1. Prepare general journal entries to record the transactions above for Spade Company by using the following accounts: Cash; Accounts Receivable; Office Supplies, Office Equipment; Accounts Payable; Common Stock; Dividends; Fees Earned; and Rent Expense. Use the letters beside each transaction to identify entries. 2. Post the above journal entries to T-accounts, which serve as the general ledger for this assignment.

Answer 1

Solution1 Spade C General Journal Transaction Debit Credit a. Cash 14,500 Common Stock 14,500 (Invested cash in the company b. Office Supplies 421 Cash 421 (Purchased Office Supplies for cash) C. Office Equipment 8,019 Accounts Payable 8,019 (Purchased Equipment on account) d. Cash 1,711 Fees Earned 1,711 (Cash received for service provided) Accounts Payable 8,019 Cash 8,019 (Accounts Payable for Equipment settled)