Effects of Accounting Equation

Paid creditors on account $2900

Dr. Accounts Payable 2900 Cr. Cash 2900

Paid creditors $400

Dr. Accounts Payable 400 Cr. Cash 400

Paid creditors on account 950

Dr. Accounts Payable 950 Cr. Cash 950

Fees earned on account totaled $1120 for second half of the month

Dr. Accounts Receivable 1120 Cr. Fees Earned 1120

Paid $900 on the $1800 debt owed from an earlier transaction

Dr. Accts Payable 900 Cr. Cash 900

Fees earned on account totaled $1750 for the first half of the month

Dr. Accts Receivable 1750 Cr. Fees Earned 1750

Paid $180 for a newspaper advertisement

Dr. Advertisement Expense Cr. Cash

Paid $900 advertising expense

Dr. Advertising Expense 900 Cr. Cash 900

Received cash in exchange for common stock $1350

Dr. Cash 1350 Cr. Common Stock 1350

Chris Clark deposited $25000 in a bank account in the name of NetSol in return for shares of stock

Dr. Cash 25000 Cr. Capital Stock 25000

Received cash from customers on account $27500

Dr. Cash 27500 Cr. Accts Receivable 27500

Received $2870 from fees earned for the second half of the month

Dr. Cash 2870 Cr. Fees Earned 2870

Received $3100 from fees earned for the first half of the month

Dr. Cash 3100 Cr. Fees Earned 3100

Received $33000 cash for providing delivery services

Dr. Cash 33000 Cr. Fees Earned 33000

NetSol agrees to rent land to a retailer for 3 months and receives $360 for three months rent

Dr. Cash 360 Cr. Unearned Rent 360

Received $650 from customers in payment of their accounts

Dr. Cash 650 Cr. Accts Receivable 650

Receive cash of $7500 from customers for services provided

Dr. Cash 7500 Cr. Fees Earned 7500

Paid $2000 to stockholders as dividends

Dr. Dividends 2000 Cr. Cash 2000

Paid cash dividends $2500

Dr. Dividends 2500 Cr. Cash 2500

Paid $20000 for the purchase of land as a future building site

Dr. Land 20000 Cr. Cash 20000

Purchased office equipment on account for $1800

Dr. Office Equipment 1800 Cr. Accounts Payable 1800

Paid a premium of $2400 for an insurance policy for a one-year period

Dr. Prepaid Insurance 2400 Cr. Cash 2400

Paid rent for one month of $800

Dr. Rent Expense 800 Cr. Cash 800

Purchased $1100 of supplies for cash

Dr. Supplies 1100 Cr. Cash 1100

Purchased supplies on account for 1350

Dr. Supplies 1350 Cr. Accounts Payable 1350

Paid 1450 for supplies

Dr. Supplies 1450 Cr. Cash 1450

determined that cost of supplies on hand was $550, $800 of supplies had been used up

Dr. Supplies Expense 800 Cr. Supplies 800

Determined that the cost of supplies on hand was $300 and $8600 of supplies had been used

Dr. Supplies Expense 8600 Cr. Supplies 8600

Paid $225 electric bill for the month

Dr. Utilities Expense 225 Cr. Cash 225

Paid $310 telephone bill for the month

Dr. Utilities Expense 310 Cr. Cash 310

NetSol incurred the following expenses: wages $2125, rent $800, utilities $450, and misc. $275

Dr. Wages Expense 2125 Dr. Rent Expense 800 Dr. Utilities Expense 450 Dr. Misc. Expense 275 Cr. Cash 3650

NetSol paid a receptionist and a part-time assistant $950 for two weeks' wages

Dr. Wages Expense 950 Cr. Cash $950