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QS 2-8 (Algo) Analyzing transactions and preparing journal entries LO A1 For each transaction. (1) analyze the transaction using the accounting equation (2) record the

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QS 2-8 (Algo) Analyzing transactions and preparing journal entries LO A1 For each transaction. (1) analyze the transaction using the accounting equation (2) record the transaction in journal entry form, and (3) post the entry using T-accounts to represent ledger accounts. Use the following partial chart of accounts-account numbers in parentheses: Cash (101) Accounts Receivable (106): Office Supplies (124) Trucks (153); Equipment (167): Accounts Payable (201) Uncamned Landscaping Revenue (236). Common Stock (307): Dividends (319) Landscaping Revenue (403); Wages Expense (601), and Landscaping Expense (696). a. On May 15, DeShawn Tyler opens a landscaping company called Elegant Lawns by Investing $88,000 in cash along with equipment having a $48.000 value in exchange for common stock. b. On May 21. Elegant Lawns purchases office supplies on credit for $640. c. On May 25. Elegant Lawns receives $9,600 cash for performing landscaping services d. On May 30. Elegant Lawns receives $2,800 cash in advance of providing landscaping services to a customer General Analyze T accounts Journal Post the entry using T-accounts to represent ledger accounts. (TIP: For right side T-account entries you must use a right side dal account entries you must use a left side date selection.) Cash 101 Office Supplies 124 Date Amount Date Amount Date Amount Date Amount May 15 88,000 640 May 25 9,600 May 30 2.800 May 21 Ending balance 100 400 Ending balance 640 Equipment 167 Amount Date 48,000 Amount Date May 15 Amount Accounts Payable 201 Amount Date 640 Date May 21 X Ending balance 48,000 Ending balance 640 Unearned Landscaping Revenue 236 Amount Date 2.800 Common Stock 307 Amount Date Date May 30 Amount Date May 15 Amount 136,000 X Ending balance 2.800 Ending balance 136.000 Landscaping Revenue 403 Amount Data 9,000 Date May 25 Amount 3 Ending balance 0,000

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