Unique Designs, a firm providing art services for advertisers, began business on June 1. The following accounts in its general ledger are needed to record the transactions for June: Cash; Accounts Receivable; Supplies; Office Equipment; Accounts Payable; Common Stock; Dividends; Service Fees Earned; Rent Expense; Utilities Expense; and Salaries Expense. June 1 Emily Holmes invested $8,000 cash to begin the business; she received common stock for her investment. 2 Paid rent for June, $375. 3 Purchased office equipment on account, $2,800. 6 Purchased art materials and other supplies costing $2,500; paid $900 down with the remainder due within 30 days. 11 Billed clients for services, $4,750. 17 Collected $2,600 from clients on account. 19 Paid $2,000 on account to office equipment company (see June 3 transaction). 25 Emily Holmes received a $750 dividend. 30 Paid utility bill for June, $525. 30 Paid salaries for June, $2,750.

Question

Business

Lawrence Ortiz

16 May, 06:07

Unique Designs, a firm providing art services for advertisers, began business on June 1. The following accounts in its general ledger are needed to record the transactions for June: Cash; Accounts Receivable; Supplies; Office Equipment; Accounts Payable; Common Stock; Dividends; Service Fees Earned; Rent Expense; Utilities Expense; and Salaries Expense. June 1 Emily Holmes invested $8,000 cash to begin the business; she received common stock for her investment. 2 Paid rent for June, $375. 3 Purchased office equipment on account, $2,800. 6 Purchased art materials and other supplies costing $2,500; paid $900 down with the remainder due within 30 days. 11 Billed clients for services, $4,750. 17 Collected $2,600 from clients on account. 19 Paid $2,000 on account to office equipment company (see June 3 transaction). 25 Emily Holmes received a $750 dividend. 30 Paid utility bill for June, $525. 30 Paid salaries for June, $2,750.

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Ayana Miranda · Answer 1

June 1 to record investment

Debit Cash $8,000

Credit Common Stock $8,000

June 2 to record payment of rent

Debit Rent Expense $375

Credit Cash $375

June 3 to record purchase of office equipment on account

Debit Office Equipment $2,800

Credit Accounts Payable $2,800

June 6 to record supplies

Debit Supplies $2,500

Credit Cash $900

Credit Accounts Payable $1,600

June 11 to record bill of revenue

Debit Accounts Receivable $4,750

Credit Service Fees Earned $4,750

June 17 to record payment received from clients on account

Debit Cash $2,600

Credit Accounts Receivable $2,600

June 19 to record payment on account of office equipment

Debit Accounts Payable $2,000

Credit Cash $2,000

June 25 to record payment of dividend

Debit Dividends $750

Credit Cash $750

June 30 to record payment of utility bill

Debit Utilities Expense $525

Credit Cash $525

June 30 to record payment of salaries

Debit Salaries Expense $2,750

Credit Cash $2,750