Answered

Sunland Repair Shop had the following transactions during the first month of business as a proprietorship. Journalize the transactions. (If no entry is required, select "No entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when amount is entered n account for $460. (Debit asset account.)

12 Performed services for clients, for which $1,223 was collected in cash and $609 was billed to the clients.

15 Paid August rent $603.

19 Counted supplies and determined that only $288 of the supplies purchased on August 7 are still on hand.

Answer :

sadddamkashmiri801

Answer:

12 Pass the double entry

15 Pass the double entry

19 The double entry is not required

Explanation:

12) The entry would be as under:

Dr Cash Collected      $1223 (Increase in Cash is debited)

Dr Trade Receivables $609 (Increase in amount not collected means that in future it would be collected)

Cr Sales                                 $1832 (Sales has increased by $1832)

13) Payment of August Bill would be because the bill is accrued in the previous month which is paid in the next month. So the entry would decrease both of the rental liability and cash asset.

Dr Rentals payables $603 Decrease in liability is debited

Cr Cash Account              $603 Decrease in asset is credited

14) No entry would be passed as the transaction has not taken place. A transaction is the exchange of service or products for services or products or money. So here, the employee is investigating how much of the inventory is still on hand which is not an transaction so double entry would not be passed in the books of accounts.

Other Questions