Question

ACC 211 - T ACCOUNT DEMONSTRATION PROBLEM October of 2014. Daye Dreamer started a catering business, specializing in wedding receptions, reunions, and other parties. Her business is called DreamEscapes, Inc. The following listed transactions were for the month of October, 2014: Oct. 1 Daye used $10,000 from a personal bank account to purchase stock in DreamEscapes corporation. Oct 3 Purchased $3,200 of equipment on account Oct. 6 Paid for an advertisement in local newspaper, $250. Oct. 10 Paid cash for supplies, $500. Oct 21 Received $1.000 cash from customer for catering a class reunion Oct. 24 Paid $800 on account for equipment purchased in Oct. 3. Oct 26 Provided catering services at a wedding reception, the bride's fathor was billed $2,000. Payment is due in 30 days. Oct. 29 Pald wages of an assistant, $400 Oct. 30 Received 5300 cash from the customer billed on Oct. 26. Oct 31 Daye received a $600 dividend from DreamEscapes corporation. 1. Record the transaction in a journal there will be at least two accounts affected by each transaction debits and credits must always oqual in every transaction do not record anything in the Post Roeronco column of the journal until the amount is transferred to the account

prepare journal entries

Answer 1

(in $)

Date	Particulars	Amount(Dr.)	Amount(Cr.)
1 Oct.	Inventory A/c Dr To Capital A/c	10000	10000
3 Oct	Equipment a/c Dr. To Creditors for equipment/Vendor	3200	3200
6 Oct	Advertisement Expense A/c Dr. To Cash	250	250
10 Oct	Purchases A/c Dr. To Cash	500	500
21 Oct	Cash A/c Dr. To Debtor/ Vendor/Sales	1000	1000
24 Oct	Creditors for equipment/Vendor A/c Dr. To Cash	800	800
26 Oct	Debtors A/c Dr. To Sales	2000	2000
29 Oct	Wages A/c Dr. To Cash	400	400
30 Oct	Cash A/c Dr. To Debtors	300	300
31 Oct	Cash a/c Dr.    To Dividend income on investment	600	600