Question

Recording Transactions Exercise: E2-4 The following information relates to Sanculi Real Estate Agency.Oct. 1 Alan Sanculi begins business as a real estate agent with a cash investment of$15,000. 2 Hires an administrative assistant. 3 Purchases office furniture for $1,900, on account. 6 Sells a house and lot for R. Craig; bills R. Craig $3,800 for realty services performed. 27 Pays $1,100 on the balance related to the transaction of October 3. 30 Pays the administrative assistant $2,500 in salary for October.InstructionsPrepare the debit-credit analysis for each transaction E2-5 Transaction data for Sanculi Real Estate Agency are presented in E2-4

Answer 1

SOLUTION:

Date	Account	Debit	Credit
Oct-01	Cash	15,000
	Common Stock		15,000
Oct-02	No entry
Oct-03	Office furniture	1,900
	Accounts payable		1,900
Oct-06	Accounts receivable	3,200
	Service Revenue		3,200
Oct-27	Accounts payable	700
	Cash		700
Oct-30	Salaries Expense	2,500
	Cash		2,500