1. Prepare Journal Entries in the General Journal

October Transactions

October 1 the owner invested $40,000 cash in the business

October 1 purchased equipment for $15,000 on account.

October 1 purchased a 4-year insurance policy to insure the business for $2000

For cash.

October 2 Paid $2000 cash for supplies.

October 4 received $3,000 cash from customers for services rendered

October 14 Paid for the equipment purchase on October 1.

October 15 Paid wages $1,750

October 16 Performed services worth $4,500 for credit customers

October 20 Received $1,400 cash from customers previously billed on account

October 22 the owner withdrew $3,400 cash for personal use

October 31 Paid utility bill for October $500.