Nancy Tercek started a delivery service Sheffield Corp on Ju

Nancy Tercek started a delivery service, Sheffield Corp., on June 1, 2019. The following transactions occurred during the month of June. June 1 Stockholders invested $16,900 cash in the business in exchange for common stock. 2 3 Purchased a used van for deliveries for $14,300. Nancy paid $3,900 cash and signed a note payable for the remaining balance. Paid $300 for office rent for the month. 5 Performed $4,600 of services on account 9 Declared and paid $400 in cash dividends. 12 Purchased supplies for $300 on account. 15 Received a cash payment of $1,300 for services performed on June S 17 Purchased gasoline for $200 on account. 20 Received $1,400 cash for services performed. 23 Made a cash payment of $500 on the note payable. 26 Paid $100 for utilities. 29 Paid for the gasoline purchased on account on June 17. 30 Paid $2,210 for employee salaries.

Solution

Journal entries :

Date	accounts & explanation	debit	credit
June 1	Cash	16900
	Common stock		16900
	(To record issue common stock)
June 2	Delivery van	14300
	Cash		3900
	Notes payable		10400
	(To record delivery van purchased)
June 3	Rent expenses	300
	Cash		300
	(To record rent paid)
June 5	Account receivable	4600
	Service revenue		4600
	(To record service performed)
June 9	Dividend a/c	400
	Cash a/c		400
	(To record dividend paid)
June 12	Supplies	300
	Account payable		300
	(To record purchase supplies)
June 15	Cash	1300
	Account receivable		1300
	(To record cash received from receivable)
June 17	Gasoline a/c	200
	Account payable		200
	(To record gasoline purchased)
June 20	Cash	1400
	Service revenue		1400
	(To record service performed)
June 23	Notes payable	500
	Cash a/c		500
	(To record cash paid to notes payable)
June 26	Utilities expenses a/c	100
	Cash a/c		100
	(To record utilities paid)
June 29	Account payable	200
	Cash a/c		200
	(To record amount paid)
June 30	Salaries expenses a/c	2210
	Cash a/c		2210
	(To record salaries paid)