Answered Essay: Analyze the following transactions using the T account approach. Place the dollar amount on the debit and credit sides

T account approach. Place the dollar amount on the debit and credit sides. After all transactions have been recorded, foot the accounts where necessary and enter the balance in the proper place. 1. Owner invested $18,000 in a business 2. Owner invested a truck worth $8,000 into the business. 3. Cash received for services rendered for the month was $9,300. 4. Received a bill for $150 for repairs. 5. Purchased a piece of equipment worth $1,600, making a down payment of $250, remaining to be paid in future Owner withdrew $1,500 from the company 6. Cash Owners Drawing

Analyze the following transactions using the T account approach. Place the dollar amount on the debit and credit sides. After all transactions have been recorded, foot the accounts where necessary and enter the balance in the proper place. 1. Owner invested $18, 000 in a business. 2. Owner invested a truck worth $8, 000 into the business. 3. Cash received for services rendered for the month was $9, 300. 4. Received a bill for $150 for repairs. 5. Purchased a piece of equipment worth $1, 600, making a down payment of $250, remaining to be paid in future. 6. Owner withdrew $1, 500 from the company

Expert Answer

 

Cash Account
Particulars Amt Particulars Amt
Capital      18,000.00 Capital Drawing        1,500.00
Service Revenue        9,300.00
Total      27,300.00 Total        1,500.00
Capital Account
Particulars Amt Particulars Amt
Cash-Drawing        1,500.00 Cash      18,000.00
Truck        8,000.00
Total        1,500.00 Total      26,000.00
Truck Account
Particulars Amt Particulars Amt
Capital        8,000.00
Total        8,000.00 Total                     –
Service Revenue
Particulars Amt Particulars Amt
Cash        9,300.00
Total                     – Total        9,300.00
Repair Account
Particulars Amt Particulars Amt
Expense Payable            150.00
Total            150.00 Total                     –
Expense Payable Account
Particulars Amt Particulars Amt
Repair            150.00
Total                     – Total            150.00
Equipment Account
Particulars Amt Particulars Amt
Cash            250.00
Sundry Creditors        1,350.00
Total        1,600.00 Total                     –
Sundry Creditors
Particulars Amt Particulars Amt
Equipment        1,350.00
Total                     – Total        1,350.00
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