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ACCOUNTS DEBIT CREDIT TRANSACTIONS 0 a. Johnson invested $40,000 cash 0 in the business. 0 b. Johnson purchased inventory for 0 $24,000 on account. 0
ACCOUNTS | DEBIT | CREDIT | TRANSACTIONS | |
0 | a. Johnson invested $40,000 cash | |||
0 | in the business. | |||
0 | b. Johnson purchased inventory for | |||
0 | $24,000 on account. | |||
0 | c. Johnson borrowed $50,000 from Bank | |||
0 | of America on a 3-month 6% note. | |||
0 | d. Johnson purchased equipment for | |||
0 | $30,000, paying cash. (Life = 5 years.) | |||
0 | e. Johnson paid the rent in cash, | |||
0 | $3,400. | |||
0 | f. Johnson sold inventory on account for | |||
0 | $20,000. Record the revenue here. | |||
0 | g. The cost of goods sold on the sale was | |||
0 | $12,000. | |||
0 | h. Johnson withdrew cash from the | |||
0 | business, $1,000. | |||
0 | i. Johnson paid off the note, $50,750 | |||
0 | including face value of $50,000 | |||
0 | and interest of $750. (Put interest first.) | |||
0 | j. Johnson recorded one month of | |||
0 | depreciation on the equipment, $500. | |||
The question is not fully posted it wont allow me to put all of the questions.
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