Question

The following transactions occurred at several different businesses and are not related. Post the following transactions into the appropriate T accounts. Transactions: Hunter Thompson, an owner, made an additional investment of $25,000 in cash. A firm purchased equipment for $8,200 in cash. A firm sold some surplus office furniture for $2,100 in cash. A firm purchased a computer for $1,900, to be paid in 60 days. A firm purchased office equipment for $9,400 on credit. The amount is due in 60 days. Nancy Fowler, owner of Fowler Travel Agency, withdrew $4,200 of her original cash investment. A firm bought a delivery truck for $41,000 on credit; payment is due in 90 days. A firm issued a check for $1,700 to a supplier in partial payment of an open account balance.

Answer 1

Sollution and Explanation:

1. Hunter thompson, an owner, made an additional investment of $25000 in cash.

Cash account (dr) - $25000, Hunter thompson capital account (Cr) - $25000

2.        Particulars                                                     Debit                    Credit

Equipment                                                            $8200

cash                                                                                                         $8200

( a firm purchased an equipment of $8200 in cash)

3. cash                                                                     $2100

Office furniture                                                                                    $2100

( a firm sold surplus office furniture fro $2100 in cash)

4. Office equipment                                                $9400

   Accounts payable                                                                           $9400

(a firm purchased office equipment on credit to be paid in 60 days)

5. nancy Fowler, Drawing                                          $4200

Cash                                                                                                     $4200

(Nancy Fowler, owner of Fowler Travel Agency, withdrew $4200 of her original cash investment.)

6. Delivery truck                                                           $41000

Accounts payable                                                                                  $41000

(A firm bought a delivery truck for $41000 on credit; payment is due in 90 days)

7.  Accounts payable                                                   $1700

cash                                                                                                   $1700

(A firm issued a check for $1700 to a supplier in partial payment of an open account balance.)