Question

journal entries

Name Henry Tan Transactions for May 1-May Pay payroll expense for the month of $12,000 3-May Pay Rent for month of $3,000 5-May Perform painting work for a customer and receive $10,000 cash 7-May Buy Computer Equipment on account for $8,500 8-May Collect $5,000 in cash from a customer for a prior month receivable 12-May Buy a year's worth of supplies on account for $3,500 15-May Sell shares of the company to a relative for $50,000 20-May Pay off $3,000 of the computer assets purchased on May 7 25-May Perform work for a customer for $10,000. the customer pays $6,000 and will pay the remainder next month. 28-May Buy a new truck for the business for $28,000, $5,000 down payment and signing a note for the remainder. Prepare Journals in the space below for the 10 transactions above Account Name Debit Credit 1-Mayl Petroll exensc 1 2000 LES 3-May Recessense 3000 5-May 7-May 8-May 12-May 15-May 1 20-May 1 25-May 28-May 11

Answer 1

Date		Account Name				Debit	Credit
01-May		Payroll Exp				$12,000.00
		Cash / Bank					$12,000.00
03-May		Rent Exp				$3,000.00
		Cash / Bank					$3,000.00
05-May		Cash / Bank				$10,000.00
		Sales / Service income					$100,000.00
07-May		Computer Equipment				$8,500.00
		Accounts Payable					$8,500.00
08-May		Cash / Bank				$5,000.00
		Accounts Receivable					$5,000.00
12-May		Supplies Exp (1/12th)				$291.67
		Prepaid Supplies Inventory				$3,208.33
		Accounts Payable					$3,500.00
15-May		Cash / Bank				$50,000.00
		Share Capital					$50,000.00
20-May		Accounts Payable				$3,000.00
		Cash / Bank					$3,000.00
25-May		Cash / Bank				$6,000.00
		Accounts Receivable				$4,000.00
		Sales / Service Income					$10,000.00
28-May		Truck (Asset)				$28,000.00
		Cash / Bank					$5,000.00
		Notes Payable					$23,000.00