Chapter 2Exercises

Analyzing and Recording Transactions

Analyzing TransactionsAnalyzing TransactionsAnalyzing TransactionsAnalyzing Transactions

• In-Class Exercises:

Exercise No. Page 2-7 79 Journal Entries

• In-Class Exercises:

Exercise No. Page 2-7 79 Journal Entries

Prepare general journal entries for the following transactions of a new company called Pose for Pics.

Aug. 1 Kasey Madison, the owner, invested $7,500 cash and $32,500 of photography equipment in the company.

Aug. 2 Paid $3,000 cash for an insurance policy covering the next 24 months.

Aug. 5 Purchased office supplies for $1,400 cash.

Aug. 20 Received $2,650 cash in photography fees earned.

Aug. 31 Paid $875 cash for August utilities.

Prepare general journal entries for the following transactions of a new company called Pose for Pics.

Aug. 1 Kasey Madison, the owner, invested $7,500 cash and $32,500 of photography equipment in the company.

Aug. 2 Paid $3,000 cash for an insurance policy covering the next 24 months.

Aug. 5 Purchased office supplies for $1,400 cash.

Aug. 20 Received $2,650 cash in photography fees earned.

Aug. 31 Paid $875 cash for August utilities.

Analyzing TransactionsAnalyzing TransactionsAnalyzing TransactionsAnalyzing Transactions

Analyzing TransactionsAnalyzing TransactionsAnalyzing TransactionsAnalyzing Transactions

Analyzing TransactionsAnalyzing TransactionsAnalyzing TransactionsAnalyzing Transactions

• In-Class Exercises:

Exercise No. Page 2-8 79 T-Accounts & Trial Balance

• In-Class Exercises:

Exercise No. Page 2-8 79 T-Accounts & Trial Balance

Analyzing TransactionsAnalyzing TransactionsAnalyzing TransactionsAnalyzing Transactions

Using the journal entries from Exercise 2-7, post the general journal entries to the T-accounts (which will serve as the general ledger).

After posting entries to the T-accounts, prepare a trial balance as of August 31 for Pose for Pics.

Using the journal entries from Exercise 2-7, post the general journal entries to the T-accounts (which will serve as the general ledger).

After posting entries to the T-accounts, prepare a trial balance as of August 31 for Pose for Pics.

Analyzing TransactionsAnalyzing TransactionsAnalyzing TransactionsAnalyzing Transactions

Completed T-AccountsCompleted T-AccountsCompleted T-AccountsCompleted T-Accounts

Analyzing TransactionsAnalyzing TransactionsAnalyzing TransactionsAnalyzing Transactions