Question

On October 1, 2019, Helen Kennedy opened an advertising agency. DATE TRANSACTIONS Oct. 1 Helen Kennedy invested $55,000 cash in the business. 2 Paid October office rent of $2,750; issued Check 1001. 5 Purchased desks and other office furniture for $14,500 from Office Furniture Mart, Inc.; received Invoice 6704 payable in 60 days. 6 Issued Check 1002 for $2,950 to purchase art equipment. 7 Purchased supplies for $1,300; paid with Check 1003. 10 Issued Check 1004 for $550 for office cleaning service. 12 Performed services for $3,850 in cash and $1,650 on credit. (Use a compound entry.) 15 Returned damaged supplies for a cash refund of $350. 18 Purchased a computer for $2,750 from Office Furniture Mart, Inc., Invoice 7108; issued Check 1005 for a $1,625 down payment, with the balance payable in 30 days. (Use one compound entry.) 20 Issued Check 1006 for $7,250 to Office Furniture Mart, Inc., as payment on account for Invoice 6704. 26 Performed services for $4,150 on credit. 27 Paid $300 for monthly telephone bill; issued Check 1007. 30 Received $3,450 in cash from credit customers. 30 Mailed Check 1008 to pay the monthly utility bill of $375. 30 Issued Checks 1009–1011 for $7,750 for salaries. Required: Journalize the above transactions. Post the above transactions to the ledger accounts. Analyze: What is the balance of account 202 in the general ledger?

Answer 1

Answer-

General Journal
Date	Particular	Amount (DR)	Amount (CR)
1-Oct	Cash	$ 55,000
	To Helen Kennedy Capital		$ 55,000
	(Being amount deposited by Helen Kennedy in the business)
2-Oct	Rent	$ 2,750
	To Cash		$ 2,750
	(Being amount of check No.1001 issued for oct rent)
5-Oct	Furniture & Fixture	$ 14,500
	To Accounts Payable		$                               14,500
	(Being amount of furniture purchased on account from Office Furniture Mart against Inv. No.6704)
6-Oct	Art Equipment	$ 2950
	To Cash		$ 2950
	(Being amount paid vide check no,1002 for purchase of Art Equipment)
7-Oct	Supplies	$                         1,300
	To Cash		$                                 1,300
	(Being amount paid vide check no. 1003 for purchase of supplies
10-Oct	Office Cleaning Service	$ 550
	To Cash		$ 550
	(Being amount paid vide check no. 1004 for Office cleaning service)
12-Oct	Cash	$ 3850
	Accounts Receivable	$                         1,650
	To Fees Income		$ 5500
	(Being amount of Serice Revenue)
15-Oct	Cash	$ 350
	To supplies		$ 350
	(Being amount refund received for damaged supplies)
18-Oct	Office Equipment(Computer)	$ 2750
	To Accounts Payable		$ 1125
	To Cash		$                                 1,625
	(Being amount of computer purchased from Office Furniture Mart vide nvoice No. 7108 by paying check no.1005 for $1750 and balance after 30 days)
20-Oct	Accounts Payable	$ 7250
	To Cash		$ 7250
	(Being amount paid on account to Office Service Mart against invoice no.6704)
26-Oct	Accounts Receivable	$                         4,150
	To Fees Income		$                                 4,150
	(Being amount of Service Performed)
27-Oct	Telephone Expenses	$                             300
	To Cash		$                                     300
	(Being amount of Telephone Expenses paid vide check no.1007)
30-Oct	Cash	$ 3450
	To Accounts Receivable		$ 3450
	(Being amount received from customer)
30-Oct	Utiltiy Expenses	$ 375
	To Cash		$ 375
	(Being amount of paid of utility expenses vide check no.1008)
30-Oct	Salary A/c	$ 7750
	To Cash		$ 7750
	(Being amount of check paid 1009-1011 for salaries)
	Cash A/c			Acc No.101
Date	Particular	Amount (Dr)	Amount (CR)	Balance
1-Oct	Helen Kannedy	$ 55,000.00		$ 55,000.00
2-Oct	Rent		$ 2750.00	$ 52,250.00
6-Oct	Art Equipment		$ 2950.00	$ 49,300.00
7-Oct	Supplies		$                                 1300.00	$ 48,000.00
10-Oct	Office Cleaning Sevice		$ 550.00	$ 47,450.00
12-Oct	Fees Income	$ 3850.00		$ 51300.00
15-Oct	Supplies	$                             350.00		$ 51650.00
18-Oct	Computer		$                                 1,625.00	$ 50025.00
20-Oct	Accounts Payable		$ 7250.00	$ 42775.00
27-Oct	Telephone Expenses		$                                     300.00	$ 42475.00
30-Oct	Accounts Receivable	$ 3450.00		$ 45925.00
30-Oct	Utiltiy Expenses		$ 375.00	$ 45550.00
30-Oct	Salaries Expenses		$ 7750.00	$ 37800.00
	Accounts Receivable A/c			Acc No.111
Date	Particular	Amount (Dr)	Amount (CR)	Balance
12-Oct	Fees Income	$                         1,650.00		$    1650.00
26-Oct	Fees Income	$                         4150.00		$ 5800.00
30-Oct	Cash		$ 3450.00	$    2350.00
	Supplies			Acc No.121
Date	Particular	Amount (Dr)	Amount (CR)	Balance
7-Oct	Cash	$                         1,300.00		$    1,300.00
15-Oct	Cash		$                                     350.00	$ 950.00
	Furniture & Fixture
Date	Particular	Amount (Dr)	Amount (CR)	Balance
5-Oct	Accounts Payable	14500		14500
	Office Equipment			Acc No.202
Date	Particular	Amount (Dr)	Amount (CR)	Balance
18-Oct	Accounts Payable	$                         1,125.00		$    1125.00
	Accounts Payable
	Art Equipment			Acc No.151
Date	Particular	Amount (Dr)	Amount (CR)	Balance
6-Oct	Cash	$ 2950.00		$ 2950.00
	Accounts Payable			Acc No.202
Date	Particular	Amount (Dr)	Amount (CR)	Balance
5-Oct	Furniture & Fixture		$                               14500.00	$ 14500.00
18-Oct	Office Equipment		$                                 1,125.00	$ 1125.00
20-Oct	Cash	$ 7250.00		$ 8375.00
	Helen Kennedy's Capital			Acc No.301
Date	Particular	Amount (Dr)	Amount (CR)	Balance
12-Oct	Cash		55000	55000
	Fees Income			Acc No.401
Date	Particular	Amount (Dr)	Amount (CR)	Balance
12-Oct	Cash		1650	1650
12-Oct	Accounts Receivable		3850	5500
26-Oct	Accounts Receivable		4150	9650
	Office Cleaning Expenses			Acc No.511
Date	Particular	Amount (Dr)	Amount (CR)	Balance
10-Oct	Cash	550		550
	Rent Expenses			Acc No.514
Date	Particular	Amount (Dr)	Amount (CR)	Balance
2-Oct	Cash	2750		2750
	Salaries Expenses			Acc No.517
Date	Particular	Amount (Dr)	Amount (CR)	Balance
30-Oct	Cash	7750		7750
	Telephone Expenses			Acc No.520
Date	Particular	Amount (Dr)	Amount (CR)	Balance
30-Oct	Cash	300		300
	Utilties Expenses			Acc No.523
Date	Particular	Amount (Dr)	Amount (CR)	Balance
30-Oct	Cash	375		375

  the balance of account 202 in the general ledger= $8,375