Practice Exercises:

step 1 - Analyzing Business Transactions

Perform the ff. steps
Remember the double entry bookkeeping: for every transactions there is always two or more accounts affected

step 2: what account title

Step 1: Identify the major account to be used as well as the
affected amount step 3: increase or decreased
assets-capital cash -30,000 assets - increase
a/r -3,500 capital - increase
office supplies - 2,000
office equipment - 10,500
Jun Cam's Capital - 46,000

assets - assets prepaid rent - 9,000 assets - increase

cash - 9,000 assets - decrease

asset cash - 800 cash - increase

asset accounts receivable - 80accounts receivable - decrease

asset accounts receivables - 1 a/r - increase

revenue service revenue - 13,000service revenue - increase
 CAM TO MY SHOP
General Journal step 2 - JOURNALIZING
For the month of: August 2022

Date Particulars Debit

Aug. 4 Cash 30,000
Accounts Receivables 3,500
office supplies 2,000
office equipment 10,500
Jun Cam's Capital

Aug. 4 Prepaid rent 9,000

Cash

Aug. 6 Cash 800

accounts receivables

Aug. 15 Accounts Receivable 13,000

Service Revenue

Aug. 18 cash 5,000

unearned revenue

Aug. 20 furniture and fixtures 5,000

accounts payable

Aug. 26 salaries expense 4,000

cash

Aug. 29 utilities expense 2,000

cash
84,800
 Cam To My Shop
Unadjusted Trial Balance
For the month of: August 2022

Account Titles Debit Credit

 GUIDE:

o or more accounts affected

step 4: apply the rules of debit

and credit
cash - debit
a/r - debit
office supplies - debit
office equipment - debit
Jun Cam's Capital - credit

prepaid rent - debit

cash - credit

cash - debit
a/r - credit

A/R - debit
service revenue - credit
URNALIZING

Credit step 3 - POSTING

+ debit credit - +
Cash accounts receivables
4-Aug 30,000 3,500
9,000
46,000 800 13,000
5,000
4,000
9,000 2,000 dr. 15,700
normal balance Dr. 22,800
office equipment
800 10,500

13,000 dr. 10,500

+ -
office supplies
5,000 2,000

5,000 dr. 2,000

4,000

2,000 Jun's capital

84,800 46,000 credit +
- debit accounts payable
5,000
1,000

Cr. 4,000
 -
accounts receivables

800

office equipment