Financial transactions that occur over a three-month period:

June 1: The owner invests $100,000 in cash into the company in exchange for common shares.

June 5: Purchased raw materials for $20,000 in cash.

June 10: Paid $5,000 in rent for the next three months.

June 15: Hired employees and paid $8,000 in cash as salaries for the month.

June 20: Sold finished goods for $40,000 in cash.

July 1: Paid utility bills in cash for $2,500.

July 5: Purchased new machinery for $30,000 on credit.

July 10: Received payment from a customer for $25,000.

July 15: Paid $2,000 in cash for office supplies.

July 20: Sold finished goods for $50,000 on credit.

August 1: Paid $9,000 in employee salaries for the month in cash.

August 5: Purchased additional raw materials on credit for $15,000.

August 10: Received payment from a customer for $35,000.

August 15: Paid utility bills in cash for $3,000.

August 20: Sold finished goods for $60,000 on credit.

September 1: Paid $10,000 in employee salaries for the month in cash.

September 5: Purchased office equipment for $8,000 in cash.

September 10: Received payment from a customer for $45,000.

September 15: Paid utility bills in cash for $3,500.

September 20: Sold finished goods for $55,000 on credit.

Create a General Journal

Answer rating: 100% (QA)

Date Account Debit Credit June 1 Cash 100000 Common Shares 100000 June 5 Raw Materials Invent... View the full answer