Question

Identify which account would be debited and credited to record each transaction occurred at Forever Green Lawn Service. The first transaction has been completed as an example. Transactions Debit Credit Ex. Issued a check for monthly rent. Rent Expense Cash 1. Purchased supplies on account. Supplies Accounts Payable 2. Purchased new equipment, issuing a check for a down payment, with balance due in thirty days. Equipment Cash, Accounts Payable 3. Provided services on account. Accounts Receivable Fees Income 4. Purchase supplies for cash. Supplies Cash 5. Issued a check to pay a creditor on account. Accounts Payable Cash 6. Collected payment from credit customer. Cash Accounts Receivable 7. Issued checks to pay employees their monthly salaries. Salaries Expense Cash 8. Performed services for cash. Accounts Receivable Fees Income 9. Received cash for damaged supplies returned. Cash Supplies 10. Issued a check to pay the telephone bill.

Answer 1

1. Debit Supplier Account

Credit Payable

2. Debit Equipment

Credit Cash

3. Debit Accounts Receivable

Credit Fees Income

4. Debit Supplies

Credit Cash

5. Debit Accounts Payable

Credit Cash

6. Debit Cash Accounts

Credit Receivable

7. Debit Salaries Expense

Credit Cash

8. Debit Accounts Receivable

Credit Fees Income

9. Debit Cash

Credit Supplies

10. Debit Telephone Expense

Credit Cash

Step-by-step explanation:

1. Debit Supplier Account

Credit Payable

2. Debit Equipment

Credit Cash

3. Debit Accounts Receivable

Credit Fees Income

4. Debit Supplies

Credit Cash

5. Debit Accounts Payable

Credit Cash

6. Debit Cash Accounts

Credit Receivable

7. Debit Salaries Expense

Credit Cash

8. Debit Accounts Receivable

Credit Fees Income

9. Debit Cash

Credit Supplies

10. Debit Telephone Expense

Credit Cash