Accounting and Finance Foundations

Unit 6

Accounting and Finance Foundations Unit 6: Journalizing 466

Chapter 16Chapter 6

Instructions:

Remember Mrs. King’s Interiors? In Unit 5, you created T accounts for the business’s financial transac-

tions. Now, use King’s Interiors Chart of Accounts and the transaction history provided below to input

those same business transactions into the general journal.

King’s Interiors Assets = Liabilities + Owner’s Equity

King’s Interiors Chart of Accounts

110 Cash

120 Accounts Receivable

130 Supplies

210 Accounts Payable

310 Capital, Mrs. King

320 Owner’s Draw, Mrs. King

330 Income Summary Account

410 Revenue, Design Services

420 Revenue, Design Products

510 Rent Expense

520 Utilities Expense

Example 1

12/01/20YY Mrs. King deposited $30,000 to open her business account.

12/05/20YY Mrs. King bought glass shelves for displays for $2,500 on account.

12/07/20YY Mrs. King bought supplies for $400 cash.

12/07/20YY Mrs. King received payment for designing services $3,000.

12/09/20YY Mrs. King completed a design for Star Bank and agreed to be paid later. $5,000.

12/15/20YY Mrs. King wrote a check for $500 to pay for December’s rent.

12/20/20YY Mrs. King sent a check to Displays Inc. for $1,000 to pay on her account.

12/21/20YY Mrs. King withdrew $600 to get a makeover.

12/21/20YY Mrs. King contributed a computer worth $500 to the business.

12/21/20YY Mrs. King paid her December utility bill for $200.

12/23/20YY Mrs. King bought an antique desk for her office for $5,000 on account.

12/29/20YY Mrs. King received a check from Star Bank to pay on their account. $2,500.

12/29/20YY Mrs. King bought a calculator for $250.

12/30/20YY Mrs. King bought some office furniture for $2,000 cash.

Student Assignment

Name: _______________________________________________________________ Date: _________________

Journalizing

16.2.1 Journalizing Entries