Question

The following transactions occurred at several different businesses and are not related. Post the following transactions into the appropriate T-accounts

a. Serena Hamilton, an owner, made an additional investment of $42,000 in cash.
b. A firm purchased equipment for $20,000 in cash.
c. A firm sold some surplus office furniture for $3,400 in cash.
d. A firm purchased a computer for $3,700, to be paid in 60 days.
e. A firm purchased office equipment for $22,400 on credit.
f. The amount is due in 60 days. James Taylor, owner of Taylor Travel Agency, withdrew $12,000 of his original cash investment.
g. A firm bought a delivery truck for $38,500 on credit; payment is due in 90 days.
h. A firm issued a check for $7,200 to a supplier in partial payment of an open account balance

Answer 1

T-accounts:

a. Cash Account

Account Titles Debit Credit

Common Stock $42,000

Common Stock

Account Titles Debit Credit

Cash $42,000

b. Equipment

Account Titles Debit Credit

Cash $20,000

Cash

Account Titles Debit Credit

Equipment $20,000

c. Cash

Account Titles Debit Credit

Office Furniture $3,400

Office Furniture

Account Titles Debit Credit

Cash $3,400

d. Computer

Account Titles Debit Credit

Accounts payable $3,700

Accounts payable

Account Titles Debit Credit

Computer $3,400

e. Office Equipment

Account Titles Debit Credit

Accounts payable $22,400

Accounts payable

Account Titles Debit Credit

Office Equipment $22,400

f. James Taylor, Capital

Account Titles Debit Credit

Cash $12,000

Cash

Account Titles Debit Credit

James Taylor,

Capital $12,000

g. Delivery Truck

Account Titles Debit Credit

Accounts payable $38,500

Accounts payable

Account Titles Debit Credit

Delivery Truck $38,500

h. Accounts payable

Account Titles Debit Credit

Cash $7,200

Cash

Account Titles Debit Credit

Accounts payable $7,200

Step-by-step explanation:

a) Data and Analysis:

a. Cash $42,000 Common Stock $42,000

b. Equipment $20,000 Cash $20,000

c. Cash $3,400 Office Furniture $3,400

d. Computer $3,700 Accounts payable $3,400

e. Office Equipment $22,400 Accounts payable $22,400

f. James Taylor, Capital $12,000 Cash $12,000

g. Delivery Truck $38,500 Accounts payable $38,500

h. Accounts payable $7,200 Cash $7,200