Question

ACCOUNTING IT REQUIRED: POST THE FOLLOWING INITIAL TRANSACTIONS THAT OCURRED DUING THE YEAR TO T-ACCOUNTS. JOURNAL ENTRIES ARE NO REQUIRED 1) Crafty pays the full amount owed in Accounts Payable in January customers pay Crafty $5,000 towards amounts owed to Crafty in Accounts Receivable. 3) On April 1, Crafty purchased equip and the rest was financed with a loan purchased equipment for $26,000. A $2.000 cash down payment was made customers are billed $50,000 on account for seres performed by Crafty during the year. 5) During the year Crafty pays $12,000 in office rent for the current year. 6) Customers paid $35,000 towards amounts billed in 15. "During the year, Crafty performed consulting services totaling $30,000 that were paid for with cash by customers. 8) During the year employees were paid $28,000 for wages. 9) Owners were paid a cash dividend of $6,000 during the year.

Answer 1

1. crafty pays the full amount owed in
accounts payable in january

Note: No amount is mentioned here

Journal would be
Debit accounts payble
   Credit Cash

2.Debit cash   5000
   Credit accounts receivable    5000

3.Debit Equipment   26000
   Credit Cash   2000
   credit loan   24000

4.Debit accounts receivable   50000
   Credit services       50000

5.Debit office rent   12000
   Credit cash   12000

6. Customers paid $ 35,000 towards amounts billed in #5.

Note: I think it should be Transaction no
#4 as in this transaction customers are
billed for the service rendered and they
haven't paid for it yet.

POSTING OF TRANSACTIONS IN T ACCOUNTS

CASH TO ACCOUNUS Receivable 35,000 TO Accounts Receivable 70 services 30,000/ By Aino 39 accounts Paya 5,000/ 39 ACCOUNTS Payable NA Not provided on question BY Equipment 2,000. I BY Office Rent 121000 By wages 28.000 By Dividend 6000 BY Balancecid 22,000 70,000 Office Red 70,000! TO cash ACCOUNTS PAYABLE N. A BY Balonce cia N.A ACCOUNTS RECEIVABLE TO SERVICES 50000/ By cash TO Balancech 35,000 By cash By Balance old 8500 5,000 35,000 us,ooo 85,000 TO cash To Loan EQUIPMENT 2,000 BY Balance cla 24,000 26,000 26000 a 6000 LOAN TO Balance col 24000 By Equipment 24.000 24000 24000

To 13olonce SERVICES ed 35000 By Accounts 89000) Beleivable 510000 I By cash 30,000 80,000 Soon CASSO OFPICE RENT 12,000/ By Balance ad 12,000 To cash 12000 12000 WAGES 28,000 BY Balance eld 28,000 To cash 28000 28009 12 IVIDEND) 6,000 By Balance ca Groov TO cash 6000 6000

Debit cash   35000
   credit accounts receivable   35000

7.Debit cash   30000
   Credit Services       30000

8.Debit wages   28000
   credit cash   28000

9.Debit Dividend   6000
   credit cash   6000