Question

Problem 1 (17 poin ts) In March 2019, Peter Jones organized a corporation to provide transportation services. The company, called Jones Inc., began operations immediately. Transactions during the month of March were as follows. Mar. 2 The corporation issued 40,000 shares of capital stock to Peter Jones in exchange for $80,000 cash. Mar. 4 Purchased a truck for $45,000. Made a $15,000 cash down payment and issued a note payable for the remaining balance. Mar. 5 Paid $2,500 to rent office space for the month. Paid $900 for maintenance and repair services on the company truck. Mar. 19 Billed customers $25,700 for services performed. Mar. 28 Paid $14,600 in salaries earned by employees during the month. Mar. 29 Received an $830 bill for fuel used in March. The entire amount is due by April 15. Mar. 30 Declared a $1,200 dividend that will be paid on April 30. Mar. 31 The account titles used by Music Inc. are as follows: Accounts Payable Maintenance Expense Cash Accounts Receivable Dividends Payable Fuel Expense Truck Dividends Rent expense Notes Payable Salaries Expense Capital Stock Service Revenue

Answer 1

15002 / / / Journal Entries in the books of Jones Inc. Date Account Titles Debit Credit 02/03 Cash Alc. Socro To Capital Stock soero (Being Share issued 4ouro @ 2 Each 04/03 10 Towek 45000. To cash To Note Payable Board (being Truck Purchese & Payment Malle in cash & Note laquelle 05/03 hent Expense 2500 То (4) (Bring Rint build (9/030 Maintenance Expense aco To cash Being Repair Expense kuica) 28/03 Account Receivable 25700 To Service Revenue 25700 (Being Service Revenue Create galez Salary expenseitle ore 14600 To cash. (Being Salony. Pouls) 2500 900 14600

30103 1830 1830 Fuel Expense Acc o n, (Being The To Accounts Payable eing costsfonding Received Dividend Ace or. To Dividend forable. Being deuidend declare) 31/03 5 1200 1200.