Question

Required Below is a list of transactions that took place during the month of March 2020. Record each of the following transactions (where required) using the blank General Journal provided on the following pages. Journals must be correctly formatted and include a narration (explanation) for each entry. March 1 Gourmet Grazing purchased a used catering van to use for onsite catering. The purchase price was $75,000 and was paid in cash using the business account. March 3 Shiny Bright Cleaning Services Ltd cleaned and detailed the catering van and left an invoice for $879, with payment terms of 30 days. March 10 Gourmet Grazing catered dinner at a corporate retreat for a large, multinational law firm. 245 partners and senior managers attended at a price of $140 per head. The law firm paid 15% in cash up front, with the remaining balance due to be paid within 30 days. March 15 Gourmet Grazing purchased a new computer for $1,885 on credit, with payment due in full by the end of the month. March 17 Gourmet Grazing paid waiting staff wages of $3,650. March 21 Gourmet Grazing received the outstanding balance owing for the corporate retreat that was catered for on March 10. March 24 Aaron needed to call out an emergency electrician to repair a faulty fuse box at his home. He paid the $575 bill using the business bank account. March 29 Gourmet Grazing paid the outstanding amount from the purchase of the laptop computer on March 15. March 30 Gourmet Grazing received and paid the March electricity bill of $683 in cash.

Answer 1

Gourmet Grazing
General Journal
Date	Particulars	LF	Debit	Credit
Mar-01	Catering Van		Dr		75,000
	To	Cash Account				75,000
	(Being purchase of catering van)
Mar-03	Catering Van		Dr		879
	To	Shiny Bright Cleaning Services Ltd			879
	(Being cleaning and detailing of the van)
Mar-10	Cash Account	Dr		5,145
	Law firm Account	Dr		29,155
	To	Catering Revenue Account				34,300
	(Being catering revenue received from law firm)
Mar-15	Computer Account	Dr		1,885
	To	Vendor Account				1,885
	(Being computer purchased on credit)
Mar-17	Staff wages Account	Dr		3,650
	To	Cash Account				3,650
	(Being staff wages paid)
Mar-21	Cash Account	Dr		29,155
	To	Law firm Account				29,155
	(Being balance cash received from law firm)
Mar-24	Drawings Account	Dr		575
	To	Bank Account				575
	(Being business money used for personal purposes)
Mar-29	Vendor Account	Dr		1,885
	To	Cash Account				1,885
	(Being cash paid to vendor of computer purchased)
Mar-30	Electricity charges	Dr		683
	To	Cash Account				683
	(Being electricity charges paid)