PROBLEM 12

Journalizing Transaction

Joanne Java Review School entered into the following transactions during October 2020.
Oct. 1 Java made additional investments of P50,000 in the business.
2 Bought liability insurance for one year, P14,500.
3 Received a bill for advertising from SouthMin News, P3,200.
4 Paid rent for the month, P8,900.
7 Received a bill for equipment repair form E. Hipolito, P2,880.
10 Received and deposited tuition from students, P62,500.
11 Received and paid the telephone bill, P2,300.
15 Bought chairs from E. Awayan Furniture Company, P18,800, paying P8,800 in cash and the balance on account
18 Paid accounts to SouthMin News, P3,200.
21 Java withdrew P8,000 for personal use.
24 Received a bill for gas and oil from Mindanao Oil Company, P1,800.
25 Received and deposited tuition from students, P61,400.
27 Paid salaries of the office assistants, P12,000.
28 Bought a photocopier on account from Dadiangas Office Machines, P7,500.
29 Received P7,000 tuition form a student who had charges the tuition on account last month.
30 Received and paid the water utilities bill, P3,600.
31 Paid for flower arrangements for front office, P620.
31 Java invested personal computer, with a fair market value of P12,300, in the business

JOANNE JAVA REVIEW SCHOOL

JOURNALIZING TRANSACTION
FOR THE MONTH ENDED OF OCTOBER, 2020
DATE ACCOUNTS AND EXPLANATIONS DEBIT CREDIT
Oct 1 Cash 50,000.00
Java, Capital 50,000.00

2 Prepaid Insurance 14,500.00

Cash 14,500.00

3 Advertising Expense 3,200.00

Accounts Payable 3,200.00

4 Rent Expense 8,900.00

Cash 8,900.00

7 Repair Expense 2,880.00

Accounts Payable 2,880.00

10 Cash 62,000.00
School Fees 62,000.00

11 Telecommunication Expense 2,300.00

Cash 2,300.00
15 Furniture 18,800.00
Cash 8,800.00
Accounts Payable 10,000.00

18 Accounts Payable 3,200.00

Cash 3,200.00

21 Java, Withdrawal 8,000.00

Cash 8,000.00

24 Gas and Oil Expense 1,800.00

Accounts Payable 1,800.00

25 Cash 61,400.00
School Fees 61,400.00

27 Salaries Expense 12,000.00

Cash 12,000.00

28 Equipment 7,500.00
Cash 7,500.00

29 Cash 7,000.00
Accounts Receivable 7,000.00

30 Utilities Expense 3,600.00

Cash 3,600.00

31 Miscellaneous Expense 620.00

Cash 620.00

31 Equipment 12,300.00
Java, Capital 12,300.00