Financial Accounting: Tools for Business Decision Making, 8th Edition
8th Edition
ISBN: 9781118953808
Author: Paul D. Kimmel, Jerry J. Weygandt, Donald E. Kieso
Publisher: WILEY
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Chapter 3, Problem 3.9E
To determine
Journal:
Journal is the book of original entry. Journal consists of the day-to-day financial transactions in a chronological order. The journal has two aspects; they are debit aspect and the credit aspect.
Rules of debit and credit:
“An increase in an asset account, an increase in an expense account, a decrease in liability account, and a decrease in a revenue account should be debited.
Similarly, an increase in liability account, an increase in a revenue account and a decrease in an asset account, a decrease in an expenses account should be credited”.
To journalize: The issuance of common stock, the hiring of an administrative assistance, the office furniture purchased on account, the Service performed to E.C, the cash received as commission, The payment made for the equipment purchased on account, The salaries paid to administrative assistance.
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This information relates to Riverbed Real Estate Agency.
Oct. 1
Stockholders invest $32,300 in exchange for common stock of the corporation.
2
Hires an administrative assistant at an annual salary of $30,600.
3
Buys office furniture for $3,650, on account.
6
Sells a house and lot for E. C. Roads; commissions due from Roads, $12,790 (not paid by Roads at this time).
10
Receives cash of $180 as commission for acting as rental agent renting an apartment.
27
Pays $620 on account for the office furniture purchased on October 3.
30
Pays the administrative assistant $2,550 in salary for October.
This information relates to McCall Real Estate Agency.
Oct. 1
Stockholders invest $33,540 in exchange for common stock of the corporation.
2
Hires an administrative assistant at an annual salary of $41,520.
3
Buys office furniture for $3,690, on account.
6
Sells a house and lot for E. C. Roads; commissions due from Roads, $11,190 (not paid by Roads at this time).
10
Receives cash of $155 as commission for acting as rental agent renting an apartment.
27
Pays $660 on account for the office furniture purchased on October 3.
30
Pays the administrative assistant $3,460 in salary for October.
Journalize the transactions.
This information relates to Monty Real Estate Agency.
Oct. 1
2
3
6
10
27
30
Date
Oct. 1
2
3
6
10
27
30
Stockholders invest $30,000 in exchange for common stock of the corporation.
Hires an administrative assistant at an annual salary of $31,080.
Buys office furniture for $3,700, on account.
Sells a house and lot for E. C. Roads; commissions due from Roads, $10,090 (not paid by Roads at this time).
Receives cash of $220 as commission for acting as rental agent renting an apartment.
Pays $630 on account for the office furniture purchased on October 3.
Pays the administrative assistant $2,590 in salary for October.
Account Titles and Explanation
Cash
Common Stock
No entry
Equipment
Accounts Payable
Accounts Receivable
Service Revenue
Cash
Service Revenue
Accounts Payable
Cash
Salaries and Wages Expense
Cash
Debit Credit
30,000
3,700
10,090
220
630
2,590
30,000
3,700
10,090
220
630
2,590
Chapter 3 Solutions
Financial Accounting: Tools for Business Decision Making, 8th Edition
Ch. 3 - Prob. 1QCh. 3 - Can a business enter into a transaction that...Ch. 3 - Are the followingevents recorded in the accounting...Ch. 3 - Prob. 4QCh. 3 - Prob. 5QCh. 3 - Prob. 6QCh. 3 - Prob. 7QCh. 3 - Misty Reno, a beginning accounting student,...Ch. 3 - Prob. 9QCh. 3 - What is the normal balance for each of these...
Ch. 3 - Prob. 11QCh. 3 - Prob. 12QCh. 3 - Prob. 13QCh. 3 - Prob. 14QCh. 3 - Prob. 15QCh. 3 - (a) When entering a transaction in the journal,...Ch. 3 - (a) Should accounting transaction debits and...Ch. 3 - Journalize these accounting transactions. (a)...Ch. 3 - Prob. 19QCh. 3 - Prob. 20QCh. 3 - Prob. 21QCh. 3 - Prob. 22QCh. 3 - Prob. 3.1BECh. 3 - Prob. 3.2BECh. 3 - Prob. 3.3BECh. 3 - For each of the following accounts, indicate the...Ch. 3 - Prob. 3.5BECh. 3 - Prob. 3.6BECh. 3 - Prob. 3.7BECh. 3 - Tilton Corporation has the following transactions...Ch. 3 - Prob. 3.9BECh. 3 - Selected transactions for Montes Company are...Ch. 3 - Prob. 3.11BECh. 3 - Prob. 3.12BECh. 3 - Prob. 3.1DIECh. 3 - Prob. 3.2DIECh. 3 - Prob. 3.3DIECh. 3 - Prob. 3.4DIECh. 3 - Prob. 3.5DIECh. 3 - Prob. 3.1ECh. 3 - Prob. 3.2ECh. 3 - Prob. 3.3ECh. 3 - Prob. 3.4ECh. 3 - Prob. 3.5ECh. 3 - Prob. 3.6ECh. 3 - Prob. 3.7ECh. 3 - Prob. 3.8ECh. 3 - Prob. 3.9ECh. 3 - Prob. 3.10ECh. 3 - Prob. 3.11ECh. 3 - Prob. 3.12ECh. 3 - Prob. 3.13ECh. 3 - Prob. 3.14ECh. 3 - Prob. 3.15ECh. 3 - Prob. 3.16ECh. 3 - Prob. 3.17ECh. 3 - Prob. 3.18ECh. 3 - Prob. 3.19ECh. 3 - Prob. 3.20ECh. 3 - Prob. 3.21ECh. 3 - Prob. 3.22ECh. 3 - Prob. 3.1APCh. 3 - Prob. 3.2APCh. 3 - Prob. 3.3APCh. 3 - Prob. 3.4APCh. 3 - Prob. 3.5APCh. 3 - Prob. 3.6APCh. 3 - Prob. 3.7APCh. 3 - Prob. 3.8APCh. 3 - Prob. 3.9APCh. 3 - Prob. 3.10APCh. 3 - Prob. 3.11APCh. 3 - Prob. 3.1EYCTCh. 3 - Prob. 3.2EYCTCh. 3 - Prob. 3.3EYCTCh. 3 - Prob. 3.4EYCTCh. 3 - Prob. 3.6EYCTCh. 3 - Prob. 3.7EYCTCh. 3 - Prob. 3.8EYCTCh. 3 - Prob. 3.9EYCTCh. 3 - Prob. 3.11EYCTCh. 3 - Prob. 3.1IFRS
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