Selected transactions for Home Place, an interior decorator corporation, in its first month of business, are as follows.accounting teacher
E3-6 Selected transactions for Home Place, an interior decorator corporation, in its first month of business, are as follows.
1. Issued stock to investors for $15,710 in cash.
2. Purchased used car for $10,150 cash for use in business.
3. Purchased supplies on account for $240.
4. Billed customers $4,820 for services performed.
5. Paid $230 cash for advertising start of the business.
6. Received $1,730 cash from customers billed in transaction (4).
7. Paid creditor $360 cash on account.
8. Paid dividends of $390 cash to stockholders.
For each transaction indicate the basic type of account debited and credited (asset, liability, stockholders’ equity); the specific account debited and credited (Cash, Rent Expense, Service Revenue, etc.); whether the specific account is increased or decreased; and the normal balance of the specific account.
Journalize the transactions. (Credit account titles are automatically indented when amount is entered. Do not indent manually.)
- 6 years ago
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