Answered step by step
Verified Expert Solution
Link Copied!

Question

00
1 Approved Answer

Sunrise Holdings started operations on January 1, 20X1. Throughout the year, the company executed several transactions to grow its operations. Record the following transactions in

"Sunrise Holdings" started operations on January 1, 20X1. Throughout the year, the company executed several transactions to grow its operations. Record the following transactions in the general journal.
Transactions:

  1. Issued 8,000 shares of common stock at $70 per share, receiving cash.
  2. Purchased inventory worth $65,000 on credit from "Dawn Suppliers."
  3. Sold goods for $100,000 in cash.
  4. Paid $50,000 to "Dawn Suppliers" for the inventory purchased.
  5. Acquired machinery worth $90,000 in cash.
  6. Received a utility bill for $11,000.
  7. Paid rent amounting to $15,000.
  8. Sold goods worth $90,000 on credit to "Aurora Retailers."
  9. Received $80,000 from "Aurora Retailers" for the sale made on credit.
  10. Paid salaries totaling $35,000.

Requirement:
Journalize all these transactions into a general journal.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered 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

Recommended Textbook for

Entrepreneurship

Authors: Andrew Zacharakis, William D Bygrave

5th Edition

9781119563099

Students also viewed these Accounting questions