List of business transactions to record in a general journal Chapter 2 The Acceanting Cyeles Daring the Period 1 1/s022 Sells (Issues) S60,000 of Common Siock to shareholders for cash. 21/12032 Pays 56,000 for 12 months of space rent starting on January 1. Record as a prepaid. Purchases supplies worth $2,500 on account. Rocord the new asset, On account 3 1/1/2022 means charged to accounts payable as this is a typical recurring trancaction with a vendac. Generally, supplies and inventory are charged to accounts payable (on account) when not paid for in eash. Purchases a building borrowing from the bank by signing a nose payable for $580,000 at 6% annual interest and puys an additional $20,000 down payment to the 4 1/2002 seller. Record the transaction in 3 accounts. Note the TOTAL amount paid for the building and record the asset for the total amount. The building is expected to have a salvage value of $408,000 at the end of its 40 years of its useful life. Purchases equipenent worth 56,000 on a six month 8% note payable. 5 t1/2022 Record the new asset. The equipment will be depreciated at a rate of $200 per moath over its useful life of 30 months. - 1/ts20z2 Provides services for $30.000 on account due in 30 days. Recoed the Service Revenue. Schedules service to be performed at a future date for a customer. Receives 7.1/18/2022$4,000 in advance from the customer on this date. Record the asset and the liability. Remember you are deferring the recording of the revenue until it is actually carnod. \& 1/202ab2 Pay employees $6,000 for salaries camed thru 1/15/2022. - 128/2022 Provides services worth $16,000 and was paid in cash. Chapter 3 The Acceanting Cyele: End of the Period 10 1/31/2022. Received a S1, 500 bill for utilities consumed is January's that will be paid in February. II 131/2022. Company cmployees carn $5.000 in salaries in the last half of January to be paid in the February. Record the expense and the liability (payable). Record one month of depreciation on the building. The beilding is being 121/31/2022 depreciated at a rate of $400 per month. $600,000$408,000 salvage value = 192,000/480$400 over a 40 year of useful life. T-4 131/31/2022 One month of pre-paid rent from 1/1/2022 has expired. T-2 141/312032 S1,500 of supplies remain in supplies inventory at the end of January. Recond the adjusting entry. T-3 15 1/31/2022. Accrue one month of interest expense on the note related to the building loan on 1/1/2022. Face Rate Time T-4 16 1:31/2022 Performed $2,000 of the service that was pre-paid for on January 18. T-7 171418022 Accrue $8,000 of services provided to a customer on January 25t. ILLUSTRATION OF POSTING TO T ACCOUNTS Accounts with normal Debit sided Balance - Account balance increases with a left sided debit entry. Assets, Expenses and Dividend Accounts. Contra-Asset Accounts - Accumulated Depreciation; Allowance for Uncollectible Balances increase with credit sided entries T= Transaction \# Accounts Reccivable account: Customers charged $20,000 services and $5,000 in sales on account when provided. A customer paid off the $5,000 accounts receivable owed to the company Accounts receivable. B= total of the column EB= the ending balance in the account 25,0005,000=20,000 Assets inerease with debits (left side) and decrease with credit (right side) entries. If you look at the Land account, it shows Land purchased for 5150,000 . Accounts with normal Credit sides Balance - Account balance increases with a right-side credit entry. Revenue, Liability, Equity - Common Stock and Retained earnings Contra Revenue Accounts - Sales Discounts, Sales Returns and Allowances- Balances increase with debit sided entries Provided services for 20,000 on account and 5,000 in sales on account. A customer paid off the $5,000 accounts receivable and deducted $10 off the payment for a sales discount earned List of business transactions to record in a general journal Chapter 2 The Acceanting Cyeles Daring the Period 1 1/s022 Sells (Issues) S60,000 of Common Siock to shareholders for cash. 21/12032 Pays 56,000 for 12 months of space rent starting on January 1. Record as a prepaid. Purchases supplies worth $2,500 on account. Rocord the new asset, On account 3 1/1/2022 means charged to accounts payable as this is a typical recurring trancaction with a vendac. Generally, supplies and inventory are charged to accounts payable (on account) when not paid for in eash. Purchases a building borrowing from the bank by signing a nose payable for $580,000 at 6% annual interest and puys an additional $20,000 down payment to the 4 1/2002 seller. Record the transaction in 3 accounts. Note the TOTAL amount paid for the building and record the asset for the total amount. The building is expected to have a salvage value of $408,000 at the end of its 40 years of its useful life. Purchases equipenent worth 56,000 on a six month 8% note payable. 5 t1/2022 Record the new asset. The equipment will be depreciated at a rate of $200 per moath over its useful life of 30 months. - 1/ts20z2 Provides services for $30.000 on account due in 30 days. Recoed the Service Revenue. Schedules service to be performed at a future date for a customer. Receives 7.1/18/2022$4,000 in advance from the customer on this date. Record the asset and the liability. Remember you are deferring the recording of the revenue until it is actually carnod. \& 1/202ab2 Pay employees $6,000 for salaries camed thru 1/15/2022. - 128/2022 Provides services worth $16,000 and was paid in cash. Chapter 3 The Acceanting Cyele: End of the Period 10 1/31/2022. Received a S1, 500 bill for utilities consumed is January's that will be paid in February. II 131/2022. Company cmployees carn $5.000 in salaries in the last half of January to be paid in the February. Record the expense and the liability (payable). Record one month of depreciation on the building. The beilding is being 121/31/2022 depreciated at a rate of $400 per month. $600,000$408,000 salvage value = 192,000/480$400 over a 40 year of useful life. T-4 131/31/2022 One month of pre-paid rent from 1/1/2022 has expired. T-2 141/312032 S1,500 of supplies remain in supplies inventory at the end of January. Recond the adjusting entry. T-3 15 1/31/2022. Accrue one month of interest expense on the note related to the building loan on 1/1/2022. Face Rate Time T-4 16 1:31/2022 Performed $2,000 of the service that was pre-paid for on January 18. T-7 171418022 Accrue $8,000 of services provided to a customer on January 25t. ILLUSTRATION OF POSTING TO T ACCOUNTS Accounts with normal Debit sided Balance - Account balance increases with a left sided debit entry. Assets, Expenses and Dividend Accounts. Contra-Asset Accounts - Accumulated Depreciation; Allowance for Uncollectible Balances increase with credit sided entries T= Transaction \# Accounts Reccivable account: Customers charged $20,000 services and $5,000 in sales on account when provided. A customer paid off the $5,000 accounts receivable owed to the company Accounts receivable. B= total of the column EB= the ending balance in the account 25,0005,000=20,000 Assets inerease with debits (left side) and decrease with credit (right side) entries. If you look at the Land account, it shows Land purchased for 5150,000 . Accounts with normal Credit sides Balance - Account balance increases with a right-side credit entry. Revenue, Liability, Equity - Common Stock and Retained earnings Contra Revenue Accounts - Sales Discounts, Sales Returns and Allowances- Balances increase with debit sided entries Provided services for 20,000 on account and 5,000 in sales on account. A customer paid off the $5,000 accounts receivable and deducted $10 off the payment for a sales discount earned