Exercise 2-14

Selected transactions for Alvarado Company during its first month in business are presented below.

Sept. 1		Stockholders invested $10,000 cash in the business in exchange for common stock.
5		Purchased equipment for $12,000 paying $4,000 in cash and the balance on account.
25		Paid $2,400 cash on balance owed for equipment.
30		Declared and paid a $500 cash dividend.

Alvarados chart of accounts shows No. 101 Cash, No. 157 Equipment, No. 201 Accounts Payable, No. 311 Common Stock, and No. 332 Dividends.

Journalize the transactions. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. Record journal entries in the order presented in the problem. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

Date	Account Titles and Explanation	Debit	Credit
Sept. 1Sept. 5Sept. 25Sept. 30
Sept. 1Sept. 5Sept. 25Sept. 30
Sept. 1Sept. 5Sept. 25Sept. 30
Sept. 1Sept. 5Sept. 25Sept. 30

SHOW LIST OF ACCOUNTS

LINK TO TEXT

LINK TO TEXT

Post the transactions using the standard account form. (Post entries in the order of journal entries presented in the previous part.)

Cash					No. 101
Date	Explanation	Ref.	Debit	Credit	Balance
Sept. 1Sept. 5Sept. 25Sept. 30		J1
Sept. 1Sept. 5Sept. 25Sept. 30		J1
Sept. 1Sept. 5Sept. 25Sept. 30		J1
Sept. 1Sept. 5Sept. 25Sept. 30		J1
Equipment					No. 157
Date	Explanation	Ref.	Debit	Credit	Balance
Sept. 1Sept. 5Sept. 25Sept. 30		J1
Accounts Payable					No. 201
Date	Explanation	Ref.	Debit	Credit	Balance
Sept. 1Sept. 5Sept. 25Sept. 30		J1
Sept. 1Sept. 5Sept. 25Sept. 30		J1
Common Stock					No. 311
Date	Explanation	Ref.	Debit	Credit	Balance
Sept. 1Sept. 5Sept. 25Sept. 30		J1
Dividends					No. 332
Date	Explanation	Ref.	Debit	Credit	Balance
Sept. 1Sept. 5Sept. 25Sept. 30		J1

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