JOURNALIZING AND POSTING TRANSACTIONS Benito Mendez opened Mendez Appraisals. He rented office space and has a part-time secretary to answer the telephone and make appraisal appointments. His chart of accounts is as follows: Chart of Accounts Assets Revenues 101 Cash 401 Appraisal Fees 122 Accounts Receivable 142 Office Supplies Expenses 181 Office Equipment 511 Wages Expense 512 Advertising Expense Liabilities 521 Rent Expense 202 Accounts Payable 525 Telephone Expense 526 Transportation Expense Owner's Equity 533 Electricity Expense 311 Benito Mendez, Capital 549 Miscellaneous Expense 312 Benito Mendez, Drawing Mendez's transactions for the first month of business are as follows: May 1 2 3 4 5 8 9 10 13 14 15 18 Mendez invested cash in the business, $5,000. Paid rent, $500. Purchased office supplies, $100. Purchased office equipment on account, $2,000. Received cash for services rendered, $280. Paid telephone bill, $38. Paid electric bill, $42. Received cash for services rendered, $310. Paid part-time employee, $500. Paid car rental for out-of-town trip, $200. Paid for newspaper ad, $30. Received cash for services rendered, $620. Paid mileage reimbursement for part-time employee's use of personal car for business deliveries (transportation expense), $22. Mendez withdrew cash for personal use, $50. Made payment on account for office equipment purchased earlier, $200. Earned appraisal fee, which will be paid in a week, $500. Paid for newspaper ad, $30. Paid for local softball team sponsorship (miscellaneous expense), $15. Paid part-time employee, $500. Received cash on account, $250. Received cash for services rendered, $280. Paid cab fare (transportation expense), $13. 19 21 23 24 26 27 28 29 30 31