Week 5 Project part a Accounting

Week 5 Project part a Accounting - Oct. 19 Made payment to...

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During its first month of operation, the Rawls Repair Corporation, which specializes in bicycle repairs, completed the following transactions: Oct. 1 Began business by making a deposit in a company bank account of $12,000, in exchange for 1,200 shares of $10 par value common stock. Oct. 1 Paid the premium on a one-year insurance policy, $1,200. Oct. 1 Paid the current month's rent, $1,040. Oct. 3 Purchased repair equipment from Conklin Company, $4,400. Paid $600 down and the balance was placed on account. Payments will be $200.00 per month for nineteen months. The first payment is Note: Use Accounts Payable for the Balance Due. Oct. 8 Purchased repair supplies from McKenna Company on credit, $390. Oct. 12 Paid utility bill for October, $154. Oct. 16 Cash bicycle repair revenue for the first half of October, $1,362.
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Unformatted text preview: Oct. 19 Made payment to McKenna Company, $200. Oct. 31 Cash bicycle repair revenue for the last half of October, $1,310. Oct. 31 Declared and paid cash dividend of $800. Prepare journal entries to record the October transactions in the General Journal below. General Journal Date Description(Account Name) Debit Credit 1-Oct Cash 12000 Common Stock 12000 1-Oct Prepaid Insurance 1200 Cash 1200 1-Oct Rent Expense 1040 Cash 1040 3-Oct Repair Equipment 600 Cash 600 Down Payment 3-Oct Repair Equipment 3800 Accounts Payable 3800 8-Oct Repair Supplies 390 Accounts Payable 390 12-Oct Utlities Expense 154 Cash 154 16-Oct Cash 1362 Bycycle Repair Revenue first half 1362...
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