Journalize the Following Transactions

question 129

Essay

Journalize the following transactions. You may leave out the explanations and disregard the posting reference.
A. Paul invested $33,000 into his company, Paul's Sports, on January 9.
B. The company purchased $6,300 of furniture on account on February 14.
C. The company paid three month's rent of $4,500 and recorded it as a prepaid expense on February 22.
D. The company bought $5,300 of office desks and $9,000 of computer equipment for $14,300 cash
on March 9.
E. The company incurred $1400 of wages to be paid next week. This entry is to be dated March 19.

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Definitions:

Variable Cost

Costs that vary directly with the level of production or output, such as materials and labor expenses.

Monthly Interest Rate

The interest rate applicable to an investment or loan on a monthly basis.

Net 30 Policy

A credit term indicating that payment is due in full 30 days after the invoice date.

Break-Even Level Of Sales

The amount of revenue from sales that is exactly sufficient to cover both fixed and variable costs, resulting in zero net profit or loss.