Chart of Accounts Basic Acct Eqimpacts 100 Cash A+ Assets up 110 Accounts Receivable A Assets down For all journal entries, you must only use Account Names from the Chart of Accounts in cells 12 thru 120, and you must only use Basic Accounting Equation Impact codes from the list in cells K2 thru K7. For all payables except Notes Payable, use the Accounts Pavable account. a) Purchased $24,000 of equipment for use in the business, paid cash. Basic Acct Account Names Debits Credits EqImpacts A+ Equipment 24,000 A Cash 24,000 completed as an example b) Earned $160,000 in service revenues for 2020, including $40,000 on credit and $120,000 collected in cash. Basic Acct Account Names Debits Credits EqImpacts Liabilities up L- Liabilities down 120 Prepaid Expenses 130 Supplies (on hand) 150 Equipment Accum SE+ Equity up SE Equity down 155 ACCUM. Deprec. 210 Accounts Payable 240 Unearned Revenue 250 Notes Payable 310 Common Stock 350 Retained Earnings c) Collected accounts receivable, $24,000. Basic Acct Account Names EqImpacts Debits Credits 410 Dividends Declared 510 Service Revenue 610 Supplies Expense 620 Depreciation Expense 630 Interest Expense d) Customer paid $12,000 in advance for future services. Basic Acct EqImpacts Account Names Debits Credits 640 Rent Expense 650 Wages Expense 660 Income Tax Expense e) Paid accounts payable, $13,000 Basic Acct Account Names EqImpacts Debits Credits f) On July 1, p. id $20,000 to rent a building for the rest of 2020 and the first half of 2021. Basic Acct Account Names Debits Credits EqImpacts Purchased $18,000 supplies on account for future use. Basic Acct Account Names EqImpacts Debits Credits h) Declared and paid a $17,000 cash dividend. Basic Acct EqImpacts Account Names Debits Credits efore continuing, complete the Unadjusted Trial Balance. 1) Determined after a year-end count that $20,000 of supplies had been used during the year. Basic Acct EqImpacts Account Names Debits Credits j) Depreciation for the year on the equipment, $6,000. Basic Acct Account Names EgImpacts Debits Credits k) Accrued $1,000 interest on an outstanding loan (promissory note). Basic Acct Account Names Debits EqImpacts Credits 1) Building rentalexpenses for the year, paid in transaction (f), had not yet been recorded. Basic Acct Account Names Debits Credits EqImpacts m) Wages of $12,000 earned by employees since the December 24 payroll were not yet paid. Basic Acct Account Names Debits Credits EqImpacts n) Vermillion provided $4,000 in service that had been prepaid in transaction(d. Basic Acct Account Names Debits Credits EqImpacts o) During December, Vermillion provided $5,000 in service on account. Basic Acct Account Names Debits EqImpacts Credits p) Income tax for the year was $16,000. It will be paid in 2021. Basic Acct Account Names Debits EgImpacts Credits
