Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Paul Wailupe opened a business under the name of Wailupes Museum LTD., and during the first week completed the following transactions: Jan 1 Paul Wailupe

Paul Wailupe opened a business under the name of Wailupes Museum LTD., and during the first week completed the following transactions:

Jan 1 Paul Wailupe invested $21,000 cash in the business.

  1. The business purchased $6,000 worth of display items on account.
  2. The business paid $1,450 for the first months rent on the building. This amount is not refundable if the business does not continue for the whole month.
  3. Purchased $875 worth of office supplies and $600 worth of equipment on account from Nahua Wholesale.
  4. Paid $37 for radio advertising.
  5. Sales for the opening day admissions totaled $2,000, of which $500 was in cash the remainder on account.
  6. Paid $25 on account to Nahua Wholesale.
  7. Paid $65 wages for the week.

9 Received $500 in cash for payment on account from the sale on January 6.

General Journal

Date

Account Title and Explanation

PR

Debit

Credit

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Students also viewed these Accounting questions