Answered step by step
Verified Expert Solution
Question
1 Approved Answer
On July 1, 2021, John Parker established a cleaning service business, Parker Cleaners. During the month, the following transactions related to the business occurred: July
On July 1, 2021, John Parker established a cleaning service business, Parker Cleaners. During the month, the following transactions related to the business occurred: July 1: John invested $22,700 cash into the business. July 10: Purchased a van for $14,000, paying $7,700 cash. The remainder will be paid in November. July 12: Paid annual premiums on insurance (in advance), \$2,530. July 17: Paid the creditor a portion of the amount owed for the van purchased on July 10, \$4,290. July 20: Completed services on account and billed the customer, $7,670 July 25: Received cash from customers on account, $2,620. July 31: Paid salaries expense of $430 and fuel expense of $330. Questions a) Journalize the transactions above for the month of July 2021. b) Prepare ledger accounts in running balance format (standard format taught in class) for the month of July 2021. c) Prepare the trial balance as at 31 July 2021
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started