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Journal entries

Woodscross LLC had the following events occur during the month of July.
1. Receivd $40,000 from investors for contributed capital
2. Borrowed $15,500 from the bank
3. Paid $4,100 for rent
4. Made sales on account for $12,500
5. Made cash sales to customers totaling $29,700
6. Repaid part of the bank loan for $6,000
7. Purchased new equipment for $5,000
8. Paid $13,000 for wages
9. Paid $1,900 for utilities

Prepare the nine journal entries using the following so that the formatting will be clear.

Debit account #1 name $xxx
Credit account #2 name $xxx

Make sure to include the words "debit" and "credit" before the account name for clarity.

Solution Preview

Woodscross LLC had the following events occur during the month of July.
1. Receivd $40,000 from investors for contributed capital
2. Borrowed $15,500 from the bank
3. Paid $4,100 for rent
4. Made sales on account for $12,500
5. Made cash sales to customers totaling $29,700
6. Repaid part of the bank loan for $6,000
7. Purchased new equipment for $5,000
8. Paid $13,000 for wages
9. Paid $1,900 for utilities

Prepare the nine journal entries using the following so that the formatting will be clear.

Debit account #1 name $xxx
Credit account #2 name $xxx

A debit to a liability, revenue, or equity account is a ...

Solution Summary

Solution explains journal entries

$2.19