Question

Jake owns a lawn maintenance company, and Luke owns a machine repair shop. For the month of July, the following transactions occurred. July 3 Jake provides lawn services to Luke’s repair shop on account, $420. July 6 One of Jake’s mowers malfunctions. Luke provides repair services to Jake on account, $370. July 9 Luke pays $420 to Jake for lawn services provided on July 3. July 14 Luke borrows $520 from Jake by signing a note. July 18 Jake purchases advertising in a local newspaper for the remainder of July and pays cash, $120. July 20 Jake pays $370 to Luke for services provided on July 6. July 27 Luke performs repair services for other customers for cash, $720. July 30 Luke pays employee salaries for the month, $220. July 31 Luke pays $520 to Jake for money borrowed on July 14. Required: Record the transactions for Jake’s Lawn Maintenance Company. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.)

Answer 1

		Debit	Credit
July 3	Accounts Receivable	420
	Service Revenue		420
July 6	Repairs and maintenance expense	370
	Accounts Payable		370
July 9	Cash	420
	Accounts Receivable		420
July 14	Notes Receivable	520
	Cash		520
July 18	Advertising expense	120
	Cash		120
July 20	Accounts Payable	370
	Cash		370
July 27	No Journal Entry Required
July 30	No Journal Entry Required
July 31	Cash	520
	Notes Receivable		520