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- journal entries - Ledger account - balance each account - financial statement

ID: 2519855 • Letter: #

Question


- journal entries - Ledger account - balance each account - financial statement 1. (40 points) On July 2, you started a new company to paint metal products. You hope to receive business from local companies that need their metal products painted. The following transactions occurred during the month of July. Write so that you can do your work on the front and back of these pages July Received $38,000 cash from investors Received $5,600 cash for products painted for a local company Paid $1200 for paint supplies Painted more metal parts, and billed the customer for 56,200. The money will be received in August Paid $900 for maintenance expenses Purchased painting equipment for $8,500. This was purchased with a down payment of $2,000 with the remaining balance due next month Paid utility bills of $350 Paid $1,700 in salaries. 10 14 18 23 24 29

Explanation / Answer

Journal Entries

Cash account

Common stock   

38,000

38,000

Cash

Service Revenue

5600

5600

Paint supplies

Cash

1200

1200

Accounts receivable

Service revenue

6200

6200

Maintenance expenses

Cash

900

900

Equipment

Cash

Accounts payable

8500

2000

6500

Utility

Cash

350

350

Salaries

Cash

1700

1700

Ledger Accounts

  

July 2 $38000

Balance $38000   

Cash Account

July 6 $38000

July 6 $5600

Balance $37450

July 10 $1200

July 18 $900

July 23 $2000

July 24 $350

July 29 $1700

Service Revenue

July 6 $5600

July 14 $6200

Balance $11800

Supplies account

July 10 $1200

Balance $1200

Accounts receivable

July 14 $6200

Balance $6200

Maintenance expenses

July 18 $900

Balance $900

Equipment

July 23 $2000

July 23 $6500

Balance $8500

Accounts payable

July 23 $6500

Balance $6500

Utility expenses

July 24 $350

Balance $350

Salary

July 29 $1700

Balance $1700

2

Cash account

Common stock   

38,000

38,000

6

Cash

Service Revenue

5600

5600

10

Paint supplies

Cash

1200

1200

14

Accounts receivable

Service revenue

6200

6200

18

Maintenance expenses

Cash

900

900

23

Equipment

Cash

Accounts payable

8500

2000

6500

24

Utility

Cash

350

350

29

Salaries

Cash

1700

1700