Question

June 1 Stockholders invested $21,800 cash in the business in exchange for common stock. 2 Purchased a used van for deliveries for $14,200. Nancy paid $4,000 cash and signed a note payable for the remaining balance. 3 Paid $400 for office rent for the month. 5 Performed $5,200 of services on account. 9 Declared and paid $300 in cash dividends. 12 Purchased supplies for $200 on account. 15 Received a cash payment of $1,400 for services performed on June 5. 17 Purchased gasoline for $200 on account. 20 Received $1,300 cash for services performed. 23 Made a cash payment of $600 on the note payable. 26 Paid $350 for utilities. 29 Paid for the gasoline purchased on account on June 17. 30 Paid $1,730 for employee salaries.

Answer 1

Answer:

June 1st

Cash   21,800 debit

  Common Stock  21,800 credit

June 2nd

Van-automobile 14,200 debit

             Cash          4,000 credit

            Note payable 10,200 credit

June 3rd

Rent expense 400 debit

           Cash              400 credit

June 5th

Accounts receivables 5,200 debit

             Sales Revenue    5,200 credit

June 9th

Dividends    300 debit

           Cash          300 credit

June 12th

Supplies 200 debit

       Accounts Payable  200 credit

June 15th

Cash  1,400 debit

     Accounts receivables 1,400

June 17th

Gasoline expense 200 debit

      Accounts Payable     200 credit

June 20th

Cash      1,300 debit

  Service Revenue   1,300 credit

June 23th

Note payable   600 debit

           Cash              600 credit

June 26th

utilities expense 350 debit

              cash                350 credit

June 29th

accounts payable 200 debit

          cash                     200 credit

June 30th

salaries expense 1,730 debit

                   cash             1,730 credit

Explanation:

Rules to perform journal entries:

credit = debit

also there should be at lease one account on debit and one in credit.

We must also remember that debits must be enter first.

Also, each acount must represent a single event or stuff. It cannot represent both stuff.