This information relates to Monty Real Estate Agency for the month of October, 2022.

Oct. 1 Stockholders invested $37,000 in exchange for common stock of the corporation.

2 Hires an administrative assistant at an annual salary of $36,000.

3 Buys equipment for $4,400 on account.

6 Sells a house and lot for M Springer; commissions due from Springer, $10,500 (not paid by Springer at this time).

10 Receives cash of $190 as commission for acting as rental agent renting an apartment.

27 Pays $880 on account for the equipment purchased on October 3.

30 Pays the administrative assistant $3,000 in salary for October.

Required:

Journalize the transactions.

Question

Business

Kingston

17 September, 20:37

This information relates to Monty Real Estate Agency for the month of October, 2022.

Oct. 1 Stockholders invested $37,000 in exchange for common stock of the corporation.

2 Hires an administrative assistant at an annual salary of $36,000.

3 Buys equipment for $4,400 on account.

6 Sells a house and lot for M Springer; commissions due from Springer, $10,500 (not paid by Springer at this time).

10 Receives cash of $190 as commission for acting as rental agent renting an apartment.

27 Pays $880 on account for the equipment purchased on October 3.

30 Pays the administrative assistant $3,000 in salary for October.

Required:

Journalize the transactions.

+4

Answers (1)

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Luke Griffin · Answer 1

Oct 1 Cash $37000 Dr

Common Stock $37000 Cr

Oct 3 Equipment Account $4400 Dr

Accounts Payable $4400 Cr

Oct 6 Accounts Receivable $10500 Dr

Commission Revenue $10500 Cr

Oct 10 Cash $190 Dr

Commission Revenue $190 Cr

Oct 27 Accounts Payable $880 Dr

Cash $880 Cr

Oct 30 Salary Expense $3000 Dr

Cash $3000 Cr

Explanation:

The event on October 2 of hiring an administravtive assistant is not a financial event so it will not be recoreded and journalized. All the other transactions are recorded and journalized.