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Question is related to accounting class plzzz help!?
the equation used is assets=liabilities+owner's equity
a.)gervais deposited $25,000 in a bank account in the name of the business
b.)bought a truck from kelly motors for $26,329, paying $8,000 in cash and placing the balance of account
c.)bought catering equipment on account from Luigi's equipment, $3,795
the letters go all the way through "m" and i understand the rest. i just need help in placing these in the right column plzzz helpp!
ok i have that straight.thanksss but i still cant figure to balance it out...plz help with the rest of these
d.)paid the rent for the month, $1,255
e.)bought insurance for the truck for one year, $400
f.)sold catering sevices for cash for the first half of the month, $3,012
g.)bought supplies for cash, $185
h.)sold catering services on account, $4,307
i.)received and paid the heating bill, $248
j.)received a bill from GC gas and lube for gas and oil for the truck, $128
k.)sold catering services for cash for the remainder of the month, $2,649
l.)gervais withdrew cash for personal use, $1,550
m.)paid the salary of assistant, $1,150
1 Answer
- JKRBLv 71 decade agoFavorite Answer
a.)gervais deposited $25,000 in a bank account in the name of the business
Dr Cash 25,000
Cr Gervais, Capital 25,000
Assets increase 25,000, Owner's Equity increase 25,000
b.)bought a truck from kelly motors for $26,329, paying $8,000 in cash and placing the balance of account
Dr Truck 26,329
Cr Cash 8,000
Cr Accounts Payable 18,329
Assets increase 26,329, Assets decrease 8,000, Liabilities increase 18,329
c.)bought catering equipment on account from Luigi's equipment, $3,795
Dr Equipment 3,795
Cr Accounts Payable 3,795
Assets increase 3,795, Liabilities increase 3,795