The following accounts are applicable to Walter’s Chimney Sweeps:
2. Accounts Receivable
4. Prepaid Insurance
6. Notes Payable
7. Accounts Payable
8. W. Norman, Capital
9. W. Norman, Withdrawals
10. Service Revenue
11. Rent Expense
12. Repair Expense
Walter’s Chimney Sweeps completed the following transactions:
(analyze each transaction and show the accounts affected by entering the corresponding numbers in the appropriate debit or credit column as shown in transaction a. Indicate no entry, if appropriate.
a. Paid for supplies purchased on credit last month. Debit:7 Credit 1
b. Billed customers for services performed.
c. Paid the current month’s rent.
d. Purchased supplies on credit.
e. Received cash from customers for services performed but not yet billed.
f. Purchased equipment on account.
g. Received a bill for repairs.
h. Returned part of the equipment purchased in f for a credit.
i. Received payments from customers previously billed.
j. Paid the bill received in g.
k. Received an order for services to be performed.
l. Paid for repairs with cash.
m. Made a payment to reduce the principal of the note payable
n. Made a cash withdrawal.