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Prepare a Journal Entry October Transactions Date Transaction Description Oct. 1 Began business by making a deposit in a company bank account of $12,000, in

Prepare a Journal Entry

October Transactions
Date Transaction Description
Oct. 1 Began business by making a deposit in a company bank account of $12,000, in exchange for 1,200 shares of $10 par value common stock.
Oct. 1 Paid the premium on a 1-year insurance policy, $1,200.
Oct. 1 Paid the current month's store rent expense, $1,040.
Oct. 3 Purchased repair equipment from Conklin Company, $4,400. Paid $600 down and the balance was placed on account. Payments will be $200.00 per month for 19 months. The first payment is due 11/1. Note: Use Accounts Payable for the Balance Due.
Oct. 8 Purchased repair supplies from McKenna Company on credit, $390.
Oct. 12 Paid utility bill for October, $154.
Oct. 16 Cash bicycle repair revenue for the first half of October, $1,362.
Oct. 19 Made payment to McKenna Company, $200.
Oct. 31 Cash bicycle repair revenue for the last half of October, $1,350.
Oct. 31

Declared and paid cash dividend of $800.

_________________________________________________________________________________

Chart of Accounts
Account Type Account Number Account Title Normal Balance
Assets
111 Cash Debit
117 Prepaid Insurance Debit
119 Repair Supplies Debit
144 Repair Equipment Debit
145 Accum Dep -Repair Equipment Credit
Liabilities
212 Accounts Payable Credit
213 Income Tax Payable Credit
Stockholders Equity
311 Common Stock Credit
312 Retained Earnings Credit
313 Dividends Debit
Revenue
411 Bicycle Repair Revenue Credit
Expenses
511 Store Rent Expense Debit
512 Utility Expense Debit
513 Insurance Expense Debit
514 Repair Supplies Expense Debit
515 Dep Expense - Repair Equipment Debit
516 Income Tax Expense Debit

Should look like this format

Date Description (Account Name) Debit Credit
____ _________ ___ ____

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