EXERCISE 2 FOR SERVICE JOURNALIZING

1 Debit Cash On Hand 1200

Credit Service Income 1200

2 Debit Accounts Receivable 4200

Credit Service Income 4200

3 Debit Plant Property Equipment 30,000

Credit Cash On Hand 30,000

4 Debit Cash In Bank 30,000

Credit Notes Payable 30,000

5 Debit Notes Receivable 1,200

Credit Service Income 1,200

6 Debit Salaries Expense 16,500

Debit Employee Bene ts 7,200

Credit Cash On Hand 23,700

7 Debit Drawings 6,000

Credit Cash On Hand 6,000

8 Debit Licensing & Permits Expense 350

Credit Cash On Hand 350

9 Debit Insurance Expense 1,250

Prepaid Insurane 1,250

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