You have volunteered as an unpaid intern to keep the books for my company that sells hotdogs at the beach. I established the business on September 1 and officially started selling hotdogs 3 days later.

Below are the transactions for September.

September 1 The owner contributed $20,000 to the business to start the operations.

September 2 Purchased a fully equipped hotdog cart for $15,000. Paid $5,000 upfront and put the remainder of the balance on account.

September 3 Purchased hotdogs, sodas and consumable supplies for $500.

September 3 Purchased 3 months of advertising services from the HB Times newspaper for $300.

September 4 Sold $200 worth of hot dogs to customers for cash.

September 5 Sold $300 worth of hot dogs to customers for cash.

September 6 Sold $100 worth of hotdogs the HBPD on account.

September 8 The HB surfing contest company asked me to supply hotdogs for their contests and paid $600 in advance for a total of 6 contests.

September 9 Hired a person to help with the surf contest sales. Paid that person $100 for services performed.

September 10 Purchased hotdogs, sodas and consumable supplies for $500.

September 12 Sold $200 worth of hot dogs to customers for cash.

September 18 The city of HB requested that you provide $500 worth of food for an event they are holding at the pier this coming weekend. The job was completed. The city of HB paid $200 and you billed the difference.

September 25 HBPD paid the balance on account due from September 6.

September 26 Received propane (utility) bill, $100, which was put on account.

September 30 Took out a small business loan from the bank for $15,000 to expand the business. The bank approved the loan due one year from today.

September 30 The owner withdrew $200 in the form of dividends.

Adjustments

1. Expired advertising.
2. Provided hotdogs for 3 surfing contests
3. Depreciation of hotdog cart, $300.

Instructions

1. Journalize all September transactions in the general journal. You may skip journal entry descriptions.
2. Post every journal entry recorded in #1 above to the general ledger. The first transaction on September 1 has been journalized in the general journal and posted to the general ledger as an example.