Question

On October 1, 20Y6, Jay Pryor established an interior decorating business, Pioneer Designs. During the month, Jay completed the following transactions related to the business:

Oct.	1.	Jay transferred cash from a personal bank account to an account to be used for the business, $27,600.
	4.	Paid rent for period of October 4 to end of month, $2,680.
	10.	Purchased a used truck for $23,000, paying $2,000 cash and giving a note payable for the remainder.
	13.	Purchased equipment on account, $10,760.
	14.	Purchased supplies for cash, $1,850.
	15.	Paid annual premiums on property and casualty insurance, $4,140.
	15.	Received cash for job completed, $11,590.

Enter the following transactions on Page 2 of the two-column journal:

	21.	Paid creditor a portion of the amount owed for equipment purchased on October 13, $3,840.
	24.	Recorded jobs completed on account and sent invoices to customers, $13,190.
	26.	Received an invoice for truck expenses, to be paid in November, $1,210.
	27.	Paid utilities expense, $1,380.
	27.	Paid miscellaneous expenses, $500.
	29.	Received cash from customers on account, $5,520.
	30.	Paid wages of employees, $3,670.
	31.	Withdrew cash for personal use, $3,060.

Required:

2. Post (in chronological order) the journal to a ledger of four-column accounts, inserting appropriate posting references in the general journal as each item is posted. Extend the balances to the appropriate balance columns after each transaction is posted. If an amount box does not require an entry, leave it blank.

Answer 1

Answer:

General Ledger

Date	Debit ($)	Credit ($)	Balance
Cash
1-Oct	27600		27600
4-Oct		2680	24920
10-Oct		2000	22920
14-Oct		1850	21070
15-Oct		4140	16930
15-Oct	11590		28520
21-Oct		3840	24680
27-Oct		1380	23300
27-Oct		500	22800
29-Oct	5520		28320
30-Oct		3670	24650
31-Oct		3060	21590
Rent Expense
4-Oct	2680		2680
Truck
10-Oct	23000		23000
Equipment
13-Oct	10760		10760
Accounts payable
13-Oct		10760	10760
21-Oct	3840		6920
26-Oct		1210	8130
Common stock
1-Oct		27600	27600
Notes payable
10-Oct		21000	21000
Supplies
14-Oct	1850		1850
Prepaid Insurance
15-Oct	4140		4140
Fees Earned
15-Oct		11590	11590
24-Oct		13190	24780
Accounts receivable
24-Oct	13190		13190
29-Oct		5520	7670
Utilities Expense
27-Oct	1380		1380
Wages Expense
30-Oct	3670		3670
Dividends
31-Oct	3060		3060