Question

Zhou Hong started a translation business on June 1, 2021. The following is a list of events and transactions that occurred concerning Zhou’s new business.

June 1		Zhou invested furniture at a fair value of $4,150 into the business.
1		Zhou opened a business bank account at the CIBC and deposited personal cash in the amount of $3,025.
5		Paid June’s rent for the office, $1,200.
6		Performed translation services for a client and received cash of $2,045.
8		Translated a proposal for a client and billed the client $1,595.
10		Purchased office supplies $465 on account.
11		Paid the receptionist a salary of $470.
21		Collected accounts receivable billed on June 8.
24		Paid for the purchase of office supplies.
26		Received a contract to translate a textbook for a total contract price of $13,590.
30		Zhou withdrew $400 cash for personal expenses.

Journalize the above transactions. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Record journal entries in the order presented in the problem.)

Date	Account Titles and Explanation	Debit	Credit

Answer 1

Journal Entries:

Date	Account title and Explanation	Debit	Credit
June 1	Furniture	$4,150
	Zhou hong, Capital		$4,150
	[To record invested furniture into the business]
June 1	Cash	$3,025
	Zhou hong, Capital		$3,025
	[To record invested cash into the business]
June 5	Rent expense	$1,200
	Cash		$1,200
	[To record rent expense]
June 6	Cash	$2,045
	Service revenue		$2,045
	[To record sales revenue]
June 8	Accounts receivable	$1,595
	Service revenue		$1,595
	[To record services performed on account]
June 10	Office supplies	$465
	Accounts payable		$465
	[To record purchase of office supplies on account]
June 11	Salaries expense	$470
	Cash		$470
	[To record salaries expense]
June 21	Cash	$1,595
	Accounts receivable		$1,595
	[To record collections from customers]
June 24	Accounts payable	$465
	Cash		$465
	[To record cash paid for accounts payable]
June 26	No Entry
June 30	Zhou Hong, Drawings	$400
	Cash		$400
	[To record cash withdrew for personal]

Note:

No entry on June 26 because no transaction. It's just contract received. Neither cash received nor service performed.