Explain how each transaction is affects the following accounts with the debit an

Question

Explain how each transaction is affects the following accounts with the debit and credit rules:

Accounts:
Cash account
offie supplies
Accounts payable
retained earnings
consulting revenue
rent expenses
utilities expenses
capital stock

Transactions:
Jan 15: Invested capital of $50,000.
Jan 17: Paid $400 office rent for the remainder of January.
Jan 20: Purchased office supplies for $200. The supplies will last for several months, and payment is not due until February 15th.
Jan 25: Purchased office equipment for $15,000 cash.
Jan 27: Performed consulting services and billed clients for $2,000. The entire amount will not be collected until February.
Jan 31: Recorded a $100 utilities expense. Payment is not due until February 20th.

Explanation / Answer

15-Jan Debit Cash 50000 Credit Capital 50000 17-Jan Debit Rent Expense 400 Credit Cash 400 20-Jan Debit Supplies 200 Credit Accounts Payable 200 25-Jan Debit Equipment 15000 Credit Cash 15000 27-Jan Debit Accounts Receivable 2000 Credit Consulting Revenue 2000 31-Jan Debit Utilities Expense 100 Credit Accounts Payable 100

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