Date Account Titles & Explanation Ref

Dec-01 Cash 101

Equipment 141
Loans Payable 203
Sarmiento, Captial 301
Initial cash investment of Sarmiento and contribution of equipment, and
inclusion of personal loan to the business

Dec-02 Supplies
Cash 121
Purchase of supplies of the business in cash 101

Dec-07 Cash 101

Accounts Receivable 111
Fees Income 401
Received cash for the service rendered with remaining balance on
account

Dec-09 Prepaid Insurance 134

Cash 101
Payment for One year insurance policy in cash

Dec-10 Salaries Expense 511

Cash 101
Payment for the first cut-off salaries to employees in cash

Dec-11 Cash 101

Accounts Receivable 111
Received cash for the service rendered

Dec-12 Advertising Expense 529

Cash 101
Payment for Advertisng expense in cash

Dec-13 Cash 101

Account Receivable 111
Received cash for the service rendered

Dec-14 Cash 101

Supplies 121
Cash collected from refund of the returned damaged supplies

Dec-15 Cash 101

Accounts Receivable 111
Fees Income 401
Received cash for service rendered with remaining balance on account
Dec-16 Equipment 141
Cash 101
Accounts Payable 202
Purchase of equipment, paid partly in cash and issued note for the
remaining balance

Dec-17 Notes Receivable 113

Fees Income 401
Recognition of sales through receiving note for the service rendered

Dec-18 Supplies 121

Accounts Payable 202
Purchased supplies on account

Dec-19 Cash 101

Accounts Receivable 111
Fees Income 401
Received cash for the service rendered with remaining balance on account

Dec-20 Cash 101

Accounts Receivable 111
Received cash for the service rendered

Dec-21 Maintenance Expense 535

Cash 101
Payment for the maintenance work in cash

Dec-22 Advertising Expense 529

Cash 101
Payment for the advertisment in the local newspapers in cash

Dec-23 Telephone Expense 532

Cash 101
Payment of the telephone bill for the month in cash

Dec-24 Cash 101

Accounts Receivable 111
Received cash for the service rendered

Dec-25 Cash 101

Sarmiento, Capital 301
Additional cash investment of Sarmiento

Dec-25 Salaries Expense 511

Cash 101
Payment for the second cut-off salaries to employees in cash
Dec-28 Utilities Expense 514
Cash 101
Payment for the utility in cash

Dec-29 Cash 101

Accounts Receivable 111
Fees Income 401
Received cash for service rendered with remaining balance on account

Dec-30 Maintenance Expense 535

Cash 101
Payment for the cleaning services in cash

Dec-31 Sarmiento, Drawings 302

Cash 101
Sarmiento withdrew cash for personal use

Dec-31 Cash 101

Fees Incomes 401
Received cash for service rendered

Dec-31 Cash 101

Accounts Receivable 111
Fees Income 401
Received cash for service rendered with remaining balance on account
Debit Credit
800,000
120,000
100,000
920,000

75,000
75,000

290,000
37,250
327,250

180,000
180,000

7,500
7,500

19,750
19,750

19,750
19,750

25,000
25,000

2,000
2,000

425,000
20,000
445,000
300,000
62,500
237,500

175,000
175,000

16,000
16,000

194,500
128,000
322,500

37,500
37,500

63,750
63,750

7,500
7,500

10,750
10,750

78,000
78,000

250,000
250,000

7,500
7,500
 11,750
11,750

294,500
33,750
328,250

20,750
20,750

100,000
100,000

125,000
125,000

27,250
16,250
43,500