Following are the January transactions:

Received a $665 deposit from a customer who wanted her piano rebuilt in February.

Rented a part of the building to a bicycle repair shop; $685 rent received for January.

Delivered five rebuilt pianos to customers who paid $18,675 in cash.

Delivered two rebuilt pianos to customers for $9,600 charged on account.

Received $8,000 from customers as payment on their accounts.

Received an electric and gas utility bill for $395 for January services to be paid in February.

Ordered $1,255 in supplies.

Paid $2,600 on account in January.

Paid $12,200 in wages to employees in January for work done this month. Received and paid cash for the supplies in (g).

Prepare journal entries for the above January transactions.

The journal entries to record the transactions are given below.

Received a $665 deposit from a customer who wanted her piano rebuilt in February.

Debit Cash Asset $ 665

Credit Advances from customers $ 665

Rented a part of the building to a bicycle repair shop; $685 rent received for January.

Debit Cash Asset $ 685

Credit Rental income $ 685

Delivered five rebuilt pianos to customers who paid $18,675 in cash.

Debit Cash Asset $ 18,675

Credit Sales income $ 18,675

Delivered two rebuilt pianos to customers for $9,600 charged on account.

Debit Account Receivable Asset $ 9,600

Credit Sales Income $ 9,600

Received $8,000 from customers as payment on their accounts.

Debit Cash Asset $ 8000

Credit Receivable Asset $ 8000

Received an electric and gas utility bill for $395 for January services to be paid in February.

Debit Utility Expense $ 395

Credit Payable Liability $ 395

Ordered $1,255 in supplies.

No entry required

Paid $2,600 on account in January.

Debit Payable Liability $ 2,600

Credit Cash Asset $ 2,600

Paid $12,200 in wages to employees in January for work done this month.

Debit Wage expense $ 12,200

Credit Cash Asset $ 12,200

Received and paid cash for the supplies in (g).

Debit Cash Asset $ 1,255

Credit Sales income $ 1,255