Journalizing transactions (Learning Objective 3) 15–20 min.

Opportunity Advertising, Inc., engaged in the following business transactions during July 2014:

Jul 1 369 13 15 17 18 22 26 31 Borrowed $450,000 from Horizon Bank. The company president signed a note payable to the bank in the name of Opportunity Advertising, Inc.

Paid $275,000 cash to purchase an office building.

Provided services to customers on account, $21,400.

Purchased $875 of office supplies on account.

Provided services to cash customers, $8,200.

Paid $3,500 of dividends to company stockholders.

Received payment on account from credit customers, $5,900.

Paid property tax expense on office building, $1,140.

Paid employee salaries, $4,300.

Paid cash to purchase supplies, $550.

Paid $4,700 on account.

Opportunity Advertising, Inc., uses the following accounts: Cash, Accounts Receivable, Supplies, Building, Accounts Payable, Notes Payable, Common Stock, Dividends, Service Revenue, Salaries Expense, and Property Tax Expense.

Requirement 1. Journalize each transaction. Omit explanations.

AppendixLO1