Journalize the Following Business Transactions in General Journal Form

question 131

Essay

Journalize the following business transactions in general journal form. Identify each transaction by number. You may omit explanations of the transactions.
1. Received $35,000 cash as investment from Roche Stone, the company's owner.
2. Purchased equipment for $50,000, paying $15,000 in cash and giving a note payable for the remainder.
3. Paid $3,000 for a one-year insurance policy.
4. Billed customers for $12,500 of services provided on account.
5. Paid monthly rent of $1,500.
6. Performed $7,000 of services and immediately received $7,000 cash.
7. Collected $2,000 from customers on account.
8. Hired a secretary.
9. Paid the secretary his first week's salary of $500.

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Definitions:

Cash Payments Journal

A bookkeeping ledger in which cash payments are recorded, showing outflows of cash.

Office Supplies

Items used in an office for daily operations, including stationary, paper, and other consumables.

Computerized Accounting System

A software system that facilitates the management of financial transactions and accounting tasks, streamlining processes such as ledger maintenance, journal entries, and financial statement generation.

Special Journals

Accounting journals designed for recording specific types of transactions in a detailed manner, such as sales or purchases.