Question

Exercise 3-09

This information relates to Culver Real Estate Agency.

Oct. 1		Stockholders invest $30,240 in exchange for common stock of the corporation.
2		Hires an administrative assistant at an annual salary of $39,600.
3		Buys office furniture for $4,020, on account.
6		Sells a house and lot for E. C. Roads; commissions due from Roads, $10,440 (not paid by Roads at this time).
10		Receives cash of $140 as commission for acting as rental agent renting an apartment.
27		Pays $650 on account for the office furniture purchased on October 3.
30		Pays the administrative assistant $3,300 in salary for October.

Journalize the transactions. (If no entry is required, select "No entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually. Record journal entries in the order presented in the problem.)

Date	Account Titles and Explanation	Debit	Credit

Answer 1

Journal

Oct. 1	Cash	30,240
	Common stock		30,240
Oct. 2	No entry	0
	No entry		0
Oct. 3	Furniture	4,020
	Accounts payable		4,020
Oct. 6	Accounts receivable	10,440
	Commission revenue		10,440
Oct. 10	Cash	140
	Commission revenue		140
Oct. 27	Accounts payable	650
	Cash		650
Oct. 30	Salaries expense	3,300
	Cash		3,300

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