Journal Entry

a. Deposited P 120,000 in a bank account in the name of the business

Debit Credit
a. Cash 120,000.00
Cruz, Capital 120,000.00 CASH
Investment by the owner Debit+
a 120,000.00
b. Bought office equipment on account from KTM Corporation, P31,000.
Office Equipment 31,000.00
Accounts Payable 31,000.00
Bought office equipment on account f 36,000.00

c. Paid rent for the month, P24,000

Rent Expense 24,000.00
Cash 24,000.00 k 23,000.00
Rent for the month

d. Bought and used supplies for cash, P4, 500.

Supplies Expense 4,500.00 179,000.00
Cash 4,500.00
paid supplies 179,000.00

e. Paid salaries, P9, 800

Salaries Expense 9,800.00 Accounts Receivable
Cash 9,800.00 Debit +
paid salaries j 33700

f. Received cash for storage services, P36, 000.

Cash 36,000.00
Storage service income 36,000.00
storage service income received
Prepaid Insurance
g. Received and paid the utility bill, P2, 520 Debit +
Utilities Expense 2,520.00 i 8,350.00
Cash 2,520.00
paid utility bill

h. Paid XYZ Advertising for the advertising billboard, P4,280

Advertising Expense 4,280.00
Cash 4,280.00
paid adv expense Office Equipment
Debit +
i. Paid for a one-year liability insurance policy, P8,350. b 31,000.00
Prepaid Insurance 8,350.00
Cash 8,350.00
paid insurance in advance
j. Billed customers for storage services on account, P33,700
Accounts Receivable 33,700.00
Storage service income 33,700.00
customers for storage services on account

k. Received cash for storage services, P23,000

Cash 23,000.00
Storage service income 23,000.00
customers for storage services for cash

l. Paid salaries, P 9,900

Salaries expense 9,900.00
Cash 9,900.00
Paid salaries

m. Paid KTM Corporation P1,000 as part payment on the office equipment bought in transaction b.

Accounts Payable 1,000.00

Cash 1,000.00
part payment on the office equipment bought in transaction b.

n. Cruz withdrew P12, 000 for personal use.

Cruz , withdrawals 12,000.00
Cash 12,000.00
Withdrawal by the owner
 CASH Accounts Payable Cruz Capital
Credit - Debit - Credit + Debit - Credit +
c 24,000.00 m 1,000.00 b 31,000.00 a 120,000.00

d 4,500.00
e 9,800.00 30,000.00

g 2,520.00
h 4,280.00
i 8,350.00

l 9,900.00 Cruz Drawings

m 1,000.00 Debit + Credit -
n 12,000.00 n 12000
76,350.00

Rent Expense
Debit + Credit -
Accounts Receivable c 24,000.00
Credit -

Supplies Expense
Debit + Credit -
Prepaid Insurance d 4500
Credit -

Advertising Expense
Debit + Credit -
h 4,280.00
Office Equipment
Credit -

Salaries Expense
 Debit + Credit -
e 9,800.00
l 9,900.00
19,700.00

Utiities Expense
Debit + Credit -
g 2,520.00

Storage Services Income

Debit - Credit +
f 36,000.00
j 33,700.00
k 23,000.00
92,700.00