On February 3, 2012, Wilco Co. purchased $3,250 of supplies on account. In Wiko Co.s chart of

Question:

On February 3, 2012, Wilco Co. purchased $3,250 of supplies on account. In Wiko Co.’s chart of accounts, the supplies account in No. 15, and the accounts payable account is No. 21.

(a) Journalize the February 3, 2012, transaction on page 19 of Wilco Co.’s two-column journal. Include an explanation of the entry.

(b) Prepare a four-column account for supplies. Enter a debit balance of $975 as pf February 1, 2012. Place a check mark (√) in the Posting Reference column.

(c) Prepare a four-column account for Accounts Payable. Enter a credit balance of #13,150 as of February 1, 2012. Place a check mark (√) in the Posting Reference column.

(d) Post the February 3, 2012, transaction to the accounts.

(e) Do the rules of debit and credit apply to all companies?

Accounts Payable
Accounts payable (AP) are bills to be paid as part of the normal course of business.This is a standard accounting term, one of the most common liabilities, which normally appears in the balance sheet listing of liabilities. Businesses receive...