Question
How to make a General Journal with the following transactions: date, account title and explanations, debit,credit Business ABC Solutions went into effect December 1, 2017
How to make a General Journal with the following transactions:
date, account title and explanations, debit,credit
Business ABC Solutions went into effect December 1, 2017 as a sole proprietorship. These transactions take place during the month of December:
Dec. 1 To start the business, Andy deposits $60,000 into the ABC Solutions bank account.
Dec. 1 ABC Solutions purchased a office building for $250,000, paying $20,000 cash, and assuming a mortgage with a bank for the rest. The Mortgage is for 30 years at 4% per annum.
Dec. 1 Purchased supplies on account for $1,350.
Dec. 2 Received $7,500 cash for Consulting service to be provided to customers in December.
Dec. 2 Paid a premium of $2,400 on a comprehensive insurance policy covering liability, theft, and fire. The policy covers a 1 year period, to November 30, 2018.
Dec. 2 Paid rent for the month of December, $2,000. This is for temporary storage month to month.
Dec. 3 ABC Solutions received $3,600 for three months rent beginning December 1st for a local retailer to rent the ground floor of the office building (which was purchased Dec 1).
Dec. 11 Paid creditors $400 for the Dec. 1st supplies purchase.
Dec. 16 Completed work for prepaid Consulting service from Dec. 2.
Dec. 31 Received $2,870 cash from Consulting service completed the last few days of December.
Dec. 31 Andy withdrew $2,000 from the company bank account for his own personal use.
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