Question

Following are the transactions of a new company called Pose-for-Pics Aug. 1 Madison Harris, the owner, invested $11, 750 cash and $50, 525 of photography equipment in the company. 2 The company paid $2,700 cash for an insurance policy covering the next 24 months 5 The company purchased office supplies for $2, 233 cash 20 The company received $3,000 cash in photography fees earned. 31 The company paid $884 cash for August utilities. Prepare general journal entries for the above transactions.

Answer 1

Journal Entry
Date	Account Tittle & Explanation	Debit	Credit
01-Aug	Cash	$11,750
	Photography Equipment	$50,525
	M Harris Capital		$62,275
	To Record Capital introduced
02-Aug	Prepaid Insrance	$2,700
	Cash		$2,700
	To Record payment made for insurance
05-Aug	Office Supplies	$2,233
	Cash		$2,233
	To Record Office Supplies Purchase
20-Aug	Cash	$3,000
	Photogrphy fees Earned		$3,000
	To Record service revenue earned
31-Aug	Utilities	$884
	Cash		$884
	To Records cash payment made for utilities