Question

Journalize the following selected transactions for January. Journal entry explanations may be omitted.

Jan. 1 Received cash from the investment made by the owner, $14,000.
2 Received cash for providing accounting services, $9,500.
3 Billed customers on account for providing services, $4,200.
4 Paid advertising expense, $700.
5 Received cash from customers on account, $2,500.
6 Owner withdrew $1,010.
7 Received telephone bill, $900.
8 Paid telephone bill, $900.

Answer 1

Jan. 1 Received cash from the investment made by the owner, $14,000.

Dr Cash 14,000

Cr Capital, owner 14,000

Jan. 2 Received cash for providing accounting services, $9,500.

Dr Cash 9,500

Cr Service revenue 9,500

Jan. 3 Billed customers on account for providing services, $4,200.

Dr Accounts receivable 4,200

Cr Service revenue 4,200

Jan. 4 Paid advertising expense, $700.

Dr Advertising expense 700

Cr Cash 700

Jan. 5 Received cash from customers on account, $2,500.

Dr Cash 2,500

Cr Accounts receivable 2,500

Jan. 6 Owner withdrew $1,010.

Dr Withdrawals 1,010

Cr cash 1,010

Jan. 7 Received telephone bill, $900.

Dr Utilities expense 900

Cr Accounts payable 900

Jan. 8 Paid telephone bill, $900.

Dr Accounts payable 900

Cr Cash 900