Question

Journalize the following transactions, post to the accounts (some may not be used), and prepare a Trial Balance:
1.    You, the owner, invest $150,000 in the business.
2.    Company purchases $20,000 of goods for resale, on account
3. The company pays for 6-months of Insurance $2,088
4.    Purchased office supplies, $350, pays cash
5.    Cash sales totaled $8,750. Cogs was $5,000
6.    Sales on account $17,500. Cogs was $10,000
7.    Paid half of what was owed from #2
8.    Received $13,125 from #6

Answer 1

Journal Entries
Events	Particulars			Debit	Credit
1)	Cash			$ 150,000.00
	To Common Stock				$ 150,000.00
2)	Inventory			$   20,000.00
	To Accounts Payable				$   20,000.00
3)	Prepaid Insurance			$     2,088.00
	To Cash				$     2,088.00
4)	Office Supplies			$        350.00
	To Cash				$        350.00
5)	Cash			$     8,750.00
	To Sales				$     8,750.00
	Cost of Goods sold			$     5,000.00
	To Inventory				$     5,000.00
6)	Accounts Receivable			$   17,500.00
	To Sales				$   17,500.00
	Cost of Goods sold			$   10,000.00
	To Inventory				$   10,000.00
7)	Accounts Payable			$   10,000.00
	To Cash				$   10,000.00
8)	Cash			$   13,125.00
	To Accounts Receivable				$   13,125.00

Cash					Common Stock					Inventory
1)	$ 150,000.00	3)	$     2,088.00		End. Bal	$ 150,000.00	1)	$ 150,000.00		2)	$ 20,000.00	5)	$   8,750.00
5)	$     8,750.00	4)	$         350.00									6)	$ 10,000.00
8)	$   13,125.00	7)	$   10,000.00									End. Bal	$   1,250.00
		End. Bal.	$ 159,437.00
Accounts Payable					Prepaid Insurance					Office Supplies
7)	$   10,000.00	2)	$   20,000.00		3)	$     2,088.00	End. Bal	$     2,088.00		4)	$      350.00	End. Bal	$      350.00
End. Bal	$   10,000.00
Sales					Cost of Goods sold					Accounts Receivable
End. Bal.	$   26,250.00	5)	$     8,750.00		5)	$     8,750.00	End. Bal	$   18,750.00		6)	$ 17,500.00	8)	$ 13,125.00
		6)	$   17,500.00		6)	$   10,000.00						End. Bal	$   4,375.00

Trial Balance
Particulars			Debit	Credit
Cash			$ 159,437.00
Inventory			$     1,250.00
Prepaid Insurance			$     2,088.00
Office Supplies			$         350.00
Accounts Receivable			$     4,375.00
Accounts Payable				$   10,000.00
Common Stock				$ 150,000.00
Sales				$   26,250.00
Cost of Goods sold			$   18,750.00
Total			$ 186,250.00	$ 186,250.00