General Journal
Date | Account Title and Explanation | Debit | Credit |
June.23 | Salaries Expenses | $2,200 | |
Cash | $2,200 | ||
Sep.10 | Cash | $44,000 | |
Capital | $44,000 |
Explanation;
1.Debit Salaries Expenses;
When the company pays employees salary for service performed the salaries expenses account is affected. Salary expense is an expense with a debut balance. Salaries expense is debuted (Increased) because expenses increase when costs are incurred.
Credited Cash ;
When the company pays the salaries the cash account is affected cash is an asset account with a debut balance. Cash is credited (decreased) because cash decreased when company pays salaries.
2.Cash Account is Debited ;
Here the owner deposited cash in to the business account so the cash account is affected. Cash is an asset of the company with debit balance cash so cash is debited and increased because more cash in the business.
Capital Account is credited when the owner puts personal money into the business account. The capital account is affected. Capital is owner's equity with credit balance . Capital is credited and increased because an investment by the owner Increases owners equity.
ACCOUNTING CYCLE Journalizing transactions Journalize the following transactions into the general journal in accordance with the...
ACCOUNTING CYCLE Journalizing transactions Journalize the following transactions into the general journal in accordance with the rules of Journalizing, and the Double April 2 Morris Company pays current month's rent, $1,900. October 2 Morris Company pays $2,700 of monthly salaries. Date Account Title Debit Credit X 5 ?
ns Journalize the following transactions into the general journal in accordance with the rules of lour March 25 September 5 Owner deposits $22,000 in business bank account as an initial investment. Thompson Company receives utility bill of $800 and pays it. Date Account Title Debit Credit 5 ?
Journalize the following transactions into the general journal in accordance with the rules of Journalizing, and the Double-entry accounting system. May September 30 8 Walker Company receives $6,100 payment from a customer on account Walker Company pays balance due of $3,300 on tools previously purchased. Date Account Title Debit Credit May Cash 8 6,100 Accounts Receivable 6,100 Sept. Supplies Expense 30 3,300 Accounts Payable 3,300
ACCOUNTING CYCLE Basic journal entry with the step-through method or the following transaction, answer the questions that follow in accordance with the rules of journalizing and ransaction: Owner withdrew $2,900 cash for personal use. which two accounts are affected? Choose one V Choose one What kind of accounts are they? Choose one Choose one Decrease Increase Decrease Do the account balances increase or decrease? Increase Credit Debit Credit Debit Do we debit or credit the accounts? Х $ ?
nstructions Journal The following errors took place in journalizing and posting transactions: Journalize the entries on December 31 to correct the errors. Use two entries to correct the error described in A. (That is, record an entry to reverse the incorrect entry and a second entry to record the corre a. Insurance of $18,000 paid for the current year was recorded as a debit to Insurance Expense and a credit wording of account titles. to Prepaid Insurance b. Dividends of...
Chapter 2 (Accounting Cycle Steps 2, 3, & 4) ※ ACCOUNTING CYCLE STEP 2: Journalize each of the following Blue Raider Adventure Park (BRAP) transactions in the general journal; you may omit explanations. Use the general journal working papers in your packet. Augu Matt opens a business checking account in the name of BRAP and makes an initial deposit of $7,000. Matt had previously Matt is unable to borrow money from the local bank given his youth, lack of business...
ACCOUNTING CYCLE Basic journal entry with the step-through method For the following transaction, answer the questions that follow in accordance with the rules of journalizing and the Transaction: Stewart Company placed an ad in the local paper for the current month to be paid next month, $1,600. which two accounts are affected? Choose one Choose one V What kind of accounts are they? Choose one Choose one Do the account balances increase or decrease? Increase Decrease Increase Decrease Do we...
Question 14 Journalize the following business transactions in general journal form. Identify each transaction by number. You may omit explanations of the transaction. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) 1. Owner invested $62,500 in exchange for common stock of the corporation. 2. Hired an employee to be paid $300 per week, starting tomorrow. 3....
Please explain your question. Thank you. Learning Objectives 3, 4 P2-29A Journalizing transactions, posting journal entries to T-accounts, and preparing a trial balance Vince York practices medicine under the business title Vince York, M.D. During July, the medical practice completed the following transactions: 2. Cash Balance $56,050 Jul. 1 5 9 10 19 22 28 York contributed $63,000 cash to the business in exchange for common stock. Paid monthly rent on medical equipment, $510. Paid $23,000 cash to purchase land...
Analyze each of the transactions by filling in the chart. Apply the Rules of Accounting. Use your handout. Date Accounts involved in transaction? Classification of the account? Increasing or Decreasing? Debit or Credit the Account? June 1 Parker, the owner, opened an accounting firm contributing $13,200 cash and office furniture worth $5,300 in exchange for capital. In other words the business is just starting out. The owner invested cash and furniture into it. Cash Asset Increasing Debit Office Furniture Asset...