1. Providing services for cash. OBJ. 2 EX 5-4 Identify journals Assuming the use of a two-column (all-purpose) general journal, a purchases journal, and a cash payments journal as illustrated in this chapter, indicate the journal in which each of the following transactions should be recorded: a. Payment of six months' rent in advance. b. Purchase of an office computer on account. c. Purchase of office supplies on account. d. Adjustment to record depreciation at the end of the month. e. Adjustment to record accrued salaries at the end of the period. f. Purchase of services on account. 8. Adjustment to prepaid rent at the end of the month. h. Purchase of office equipment for cash. i. Adjustment to prepaid insurance at the end of the month. j. Purchase of office supplies for cash. k. Advance payment of a one-year fire insurance policy on the office. HAND OUT Chapter 5 Sales Journal Invoice Customer Account Debited PR Page 3 A/R - Dr. Fees Earned - Cr. Date Page 2 Purchases Journal Invoice Vendor Account Credited # PR A/P - Cr Supplies - Dr. Date Account PR Amount Cash Receipts Journal Page 4 Fees Earned Account Cr Credited PR Date Customer Account Credited PR Cash - Dr A/R - Cr Amount Cash Payments Journal Page 4 Date Vendor Account Debited Check # PR Cash - Cr A/P - Dr Account Supplies - Dr Debited PR Amount TRANSACTIONS Date Jan 1 Paid $500 for January rent, check #620 Jan 5 Purchased Supplies on account from Johns Corp for $350. Received an Invoice #103 from Johns Corp. Issued Invoice #401 for Fees Earned to Luther Kent for $500 Jan 6 Jan 6 Received $400 from customer for Fees Earned Jan 8 Paid $50 for supplies, check #621 Jan 15 Purchased Supplies on account from Wein Company for $2,000. Received an Invoice #894 from Wein Company. Jan 16 Issued Invoice #402 for Fees Earned to Mary Lamb for $150 Jan 16 Received $500 from Luther Kent on account Jan 18 Issued Invoice #403 for Fees Earned to Joseph Smithers for $250 Jan 18 Purchased Land on account from Else Corp for $6,200. Received an Invoice #309 from Else Corp. Jan 18 Paid Johns Corp. on account, check #622 Jan 20 Sold the Land at its cost, $5,000 cash Jan 25 Issued Invoice #404 for Fees Earned to Elizabeth Masters for $800 Jan 25 Received $750 from customer for Fees Earned Jan 27 Purchased Supplies on account from Wein Company for $1,500. Received an Invoice #921 from Wein Company. Jan 28 Paid Else Corp. on account, check #623 Jan 29 Received $150 from Mary Lamb on account General Ledger A/R Subsidiary A/P Subsidiary 11 31 LUTHER KENT ELSE CORP CASH 20,000 I. M. SMART, CAPITAL 20,000 A/R 12 I.M. SMART, DRAWING 32 MARY LAMB JOHNS CORP SUPPLIES 13 FEES EARNED 41 ELIZABETH MASTERS WEIN CORP LAND 15 SUPPLIES EXP 51 JOSEPH SMITHERS A/P 21 RENT EXPENSE 52
