For this Cnitical Thinking Assignment option, complete the following Review Ques
ID: 2562757 • Letter: F
Question
For this Cnitical Thinking Assignment option, complete the following Review Questions from Chapter 4 of the Financial Management and Accounting Fundamentals for Construction textbook, listed on pp. 93-94 Review Question 1 What is the difference between joumalizing and posting? Review Question 4 Journalize the following transactions for Tip Top Associates, Inc., incurred during the month of July 19X4 (assume accrual basis): 12,000 6-Jul Initializing capital deposited in bank 10-Jul Office supplies purchased 12-Jul Purchase computer 250 3,500 (paying $1000 with balance on account) 15-J Office rent 20-Jul Billing to Jones County Board of Education 25-Jul Salaries-employee payroll 28-Jul Paid on account for computer 30-Jul Cost of expended supplies 425 1,255 655 800 145 Transaction# | Date Description Debit Credit Review Question 6 What is a "real" account? How does it differ from a nominal account? Show your work and upload your completed assignment as a Word document to the assignment dropbox.Explanation / Answer
Review question 1:
Journal is the document which is used for the purposes of recording in the transactions in the most systematic manner. When the business transactions are recorded as and when they occur, it is termed as journalising.
A ledger is the book in which the similar accounts are grouped. When posting of these journal entries are done in the ledger accounts, it is termed as posting of the entries.
Hence, journalising occurs before, then posting occurs.
Both of these are different since the characteristics of then underlie in the books of accounts. Journal id termed as book of prime or the first entry whereas the ledger is termed as the book of final entry.
Review question 4:
Date
Particulars
Debit
Credit
06-Jul
Bank
12,000.00
Share capital
12,000.00
(deposit of cash into bank)
10-Jul
Officer supplies
250.00
Bank
250.00
(Purchase of office supplies)
12-Jul
Computer
3,500.00
Bank
2,500.00
Accounts payable
1,000.00
(purchase of computer)
15-Jul
Rent expense
425.00
Bank
425.00
(Payment of office rent)
20-Jul
Accounts receivable
1,255.00
Sales revenue
1,255.00
(recording of sales revenue)
25-Jul
Salary expense
Bank
(Payment of salary expense)
28-Jul
Accounts payable
800.00
Bank
800.00
(Payment of accounts payable on computer)
30-Jul
Officer supplies
145.00
Bank
145.00
(Purchase of office supplies)
Date
Particulars
Debit
Credit
06-Jul
Bank
12,000.00
Share capital
12,000.00
(deposit of cash into bank)
10-Jul
Officer supplies
250.00
Bank
250.00
(Purchase of office supplies)
12-Jul
Computer
3,500.00
Bank
2,500.00
Accounts payable
1,000.00
(purchase of computer)
15-Jul
Rent expense
425.00
Bank
425.00
(Payment of office rent)
20-Jul
Accounts receivable
1,255.00
Sales revenue
1,255.00
(recording of sales revenue)
25-Jul
Salary expense
Bank
(Payment of salary expense)
28-Jul
Accounts payable
800.00
Bank
800.00
(Payment of accounts payable on computer)
30-Jul
Officer supplies
145.00
Bank
145.00
(Purchase of office supplies)