Answer:
Cheyenne’s Dog Care
Journal Entries:
March 1:
Debit Rent Expense $980
Credit Cash Account $980
To record the payment of monthly rent.
March 3:
Debit Accounts Receivable $110
Credit Service Revenue $110
To record the performance of services on account.
March 5:
Debit Cash Account $60
Credit Service Revenue $60
To record the performance of services for cash.
March 8:
Debit Equipment $490
Credit Cash Account $65
Credit Accounts Payable $425
March 12:
Debit Cash Account $110
Credit Accounts Receivable $110
To record the receipt of cash from customers.
March 14:
Debit Wages Expense $430
Credit Cash Account $430
To record the payment of wages.
March 22:
Debit Utilities Expense $60
Credit Cash Account $60
To record the payment of utilities.
March 24:
Debit Cash Account $1,230
Credit Notes Payable (Grafton State Bank) $1,230
To record the signing of a note payable.
March 27:
Debit Plumbing Repairs $180
Credit Cash Account $180
To record the payment for plumbing repairs.
March 28:
Debit Accounts Payable $425
Credit Cash Account $425
To record the payment for equipment purchase.
March 30:
Debit Prepaid Insurance $1,480
Credit Cash Account $1,480
To record the payment for six months insurance.
Explanation:
Cheyenne's Dog Care can use the general journal to record its daily business transactions as they occur. The journal identifies the accounts involved in each transaction and shows the accounts to be debited or credited as the case may be.
