(GREG TOOBEY)

General Journal

Date Transaction Details

31

31

31

31

31

31
 Transaction Details Debit
Accounts Receivable 15,600
Service Revenue

Utilities Expense 8,000

Utilities Payable

Interest Expense 5,000

Interest Payable

Depreciation Expense - Equipment 48,000

Accumulated Depreciation - Equipment

Insurance Expense 20,000

Prepaid Insurance

Supplies Expense 9,000

Supplies

PROBLEM 2
1.      The balance of supplies on January 1 was 1,150
Solution: (850-650) = 950 = 1150

2.      The total Insurance Premium was 4800

Solution: 400x12 = 4,800
It was purchased on August 1 on the previous year.
Solution: (4,800-2,400)/400 = 6 months (August 1 – January 31)

3. Dec 31 (previous year) Balance of accounts receivable was 2,000

Solution: (3,000-1,800) + 800 = 2,000

4.     Dec 31 (previous year) Balance of Unearned Service Revenue was 1,150
Solution: (2,000-1,600) + 750 = 1,150
Credit

15,600

8,000

5,000

48,000

20,000

9,000