Question
1) Listed below are the January transactions for Big Ben Clock Repair Store, owned by David McDonald. Record them in general Journal form. January :
January:
1 Invested $7,000 cash and equipment with a book value of $2,800 3 Paid first months rent, $700
5 Cash repairs, $1,400
11 Purchased equipment, $550 cash 12 Cash repairs, $2,700
15 Purchased equipment on account, $400 17 Paid for advertising, $325
19 Withdrew $500 for personal expenses
21 Received $500 on account from Jan.8 transaction 22 Paid wages, $325
1 Invested $8,000 in business
3 Purchased supplies on account, $175
5 Purchased equipment for, $9,000, paying $6,000 cash and issuing a 30-day note for the remainder
7 Received, $1,500 cash for repairs
9 Purchased supplies on account, $255 11 Paid rent for month, $350
15 Paid electric bill, $155
17 Paid $100 on account from July 19 transaction 19 Withdrew $500 for personal use
23 Received $200 up front on a $500 repair 25 Paid $155 on account
30 Record cash repairs, $2150 30 Paid wages, $1000
Mar. 3 Borrowed $45,000 from the bank and signed a note payable in the name of the business.
5 Paid cash of $40,000 to a real estate company to acquire land in the town of Bancroft.
11 Performed service for a customer and received cash of $5,000.
12 Purchased supplies on account, $300.
14 Performed customer service and earned revenue on account, $2,600.
17 Paid $1,200 of the Accounts Payable balance from the March 1, 2017, trial balance.
19 Paid the following cash expenses: salaries, $3,000; rent, $1,500; and interest, $400.
20 Received $3,100 of the Accounts Receivable balance from the March 1, 2017, trial balance.
24 Received a $200 utility bill that will be paid next week.
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