Question

Prepare Journal Entries in the books of accounts of Roger & Company books of accounts of Roger & Company in Vancouver for August 2018 Transactions E CA- CAL ID CA 1. August 1, 2018, owner puts in $120,000 cash into the company 2. August 1, 2018, company paid $32, 400 for six months of prepaid insurance 3. August 2, 2018, company purchased $25,000 of furniture for cash. 4. August 3, 2018, company paid $13,200 in rent. 5. August 4, 2018, company purchased $240,000 of equipmen 6. August 5, 2018, company received $600,000 cash in sales Income. 7. August 15, 2018, company purchased stationery for $11,800. 8. August 17, 2018, owner withdrew $12,000 from the business. CA- Ex 9. August 17, 2018, company paid $52,500 in wages to an employee. 10. August 18, 2018, company received $115,000 from a customer. The goods will be sent next month. 11. August 21, 2018, company received $600,000 cash in credit sales income. 12. August 23, 2018, company purchased stationery on credit for $11,800. 13. August 25, 2018, company received $300,000 cash in interest income. 14. August 27, 2018, company paid for hydro expense for $1,800. 5 August 31, 2018 company hired a manager for $7,500 salary per month. She will start work on 15 September 2018

Answer 1

JOURNAL ENTRIES IN BOOKS OF ROGER & COMPANY : ( AUGUST 2018 )

DATE JOURNAL ENTRY    DEBIT (AMT$) CREDIT (AMT$)

Aug 1 Cash a/c Dr. $120,000     To Capital a/c $120,000

Prepaid insurance a/c Dr. $32,400 To Cash a/c $32,400

Aug 2 Furniture a/c    Dr. $25,000    To Cash a/c $25,000

Aug 3 Rent a/c Dr. $13,200 To Cash a/c $13,200

Aug 4 Equipment a/c Dr.    $240,000    To Cash a/c $240,000

Aug 5 Cash a/c    Dr. $600,000    To Sales a/c $600,000

Aug 15 Printing & stationery a/c    Dr. $11,800 To Cash a/c $11,800

Aug 17 Capital a/c    Dr. $12,000 To Cash a/c $12,000

Wages a/c    Dr. $52,500 To cash a/c $52,500

Aug 18 Cash   a/c    Dr.    $115,000   To Customer advances a/c $115,000

( Accrued entry )

Aug 21 Cash a/c Dr. $600,000 To accounts receivable a/c $600,000

Aug 23 Printing & stationery a/c Dr. $11,800 To Accounts payable a/c $11,800

Aug 25 Cash a/c Dr. $300,000 To Interest a/c $300,000

Aug 27 Hydro expenses a/c Dr. $1,800 To Cash a/c $1,800

Aug 31 No Entry since there is no payment of cash or any services received .