Prepare the journal entry to record each of the following independent transactio

Question

Prepare the journal entry to record each of the following independent transactions. (Use the
number of the transaction in lieu of a date for identification purposes.)
1. Services provided on account of $1,530
2. Purchases of supplies on account for $1,365
3. Services provided for cash of $750
4. Purchase of equipment for cash of $4,240
5. Issuance of a promissory note for $2,500
6. Collections on account for $890
7. Sale of capital stock in exchange for a parcel of land; the land is appraised at $50,000
8. Payment of $4,000 in salaries and wages
9. Payment of open account in the amount of $500

Explanation / Answer

Debit(D) Account receivable 1530 Credit(C) Revenue 1530 D Supplies 1365 C Account Payable 1365 D Cash 750 C Revenue 750 D Equipment 4240 C Cash 4240 D Cash 2500 C Note Payable 2500 D Cash 890 C Account Receivable 890 D Land 50,000 C Capital Stock 50,000 D Salary Expenses 4,000 C Cash 4,000 D Account Payable 500 C Cash 500

Related Questions

Navigate

• Browse (All)
• Browse P
• Subjects

---