On October 1 2018 Jay Pryor established an interior decorati

On October 1, 2018, Jay Pryor established an interior decorating business, Pioneer Designs. During the month, Jay completed the following transactions related t Jay transferred cash from a personal bank account to an account to be used for the business in exchange for common stock, $18,000. 4. Paid rent for period of October 4 to end of month, $3,000. 10. Purchased a used truck for $23,750, paying $3,750 ca and giving a note payable for the remainder. 13. Purchased equipment on account, $10,500. 14. Purchased supplies for cash, $2,100. 15. Paid annual premiums on property and casualty insurance, $3,600 15. Received cash for job completed, $8,950. Oct. 1. Enter the following transactions on Page 2 of the two-column journal: 21. Paid creditor a portion of the amount owed for equipment purchased on October 13, $2,000. 24. Recorded jobs completed on account and sent invoices to customers, $14,150. 26. Received an invoice for truck expenses, to be paid in November, $700. 27. Paid utilities expense, $2,240. 27 Paid miscellaneous expenses, $1,100 29. Received cash from customers on account, $7,600 30. Paid wages of employees, $4,800 31. Paid dividends, $3,500.

Solution

Solution:

Journal Entries - Jay Pryor
Date	Particulars	Debit	Credit
1-Oct	Cash Dr	$18,000.00
	To Common Stock		$18,000.00
4-Oct	Rent Expense Dr	$3,000.00
	To Cash		$3,000.00
10-Oct	Truck Dr	$23,750.00
	To Cash		$3,750.00
	To Notes Payable		$20,000.00
13-Oct	Equipment Dr	$10,500.00
	To Accounts payable		$10,500.00
14-Oct	Supplies Dr	$2,100.00
	To Cash		$2,100.00
15-Oct	Prepaid insurance Dr	$3,600.00
	To Cash		$3,600.00
15-Oct	Cash Dr	$8,950.00
	To Fees Earned		$8,950.00
21-Oct	Accounts payable Dr	$2,000.00
	To Cash		$2,000.00
24-Oct	Accounts receivables Dr	$14,150.00
	To Fees Earned		$14,150.00
26-Oct	Truck Expense Dr	$700.00
	To Accounts payable		$700.00
27-Oct	Utilities expense Dr	$2,240.00
	To Cash		$2,240.00
29-Oct	Cash Dr	$7,600.00
	To Accounts receivables		$7,600.00
30-Oct	Wage Expense Dr	$4,800.00
	To Cash		$4,800.00
31-Oct	Dividends Dr	$3,500.00
	To Cash		$3,500.00