1. 1. A customer makes a payment on account. What would the journal entry look like?

2. CashXXX Accounts Rec.XXX

3. 2. What would the journal entry look like when a business buys equipment on account?

4. EquipmentXXX Accounts PayableXXX

5. 3. What would the journal entry look like when a business pays for equipment purchased on account?

6. Accounts PayableXXX CashXXX

7. 4. What would the journal entry look like when a business pays for equipment with cash?

8. 4. What would the journal entry look like when a business pays for equipment purchased on account? EquipmentXXX CashXXX

9. 5. A business pays salaries of $50,000 on the first and 15 th of each month. What would be the adjusting entry required on the 31 st ?

10. Salary ExpenseXXX Salary PayableXXX

11. 6. A business uses a perpetual inventory method. What entry would be made to purchase inventory on account?

12. InventoryXXX Accounts PayableXXX

13. 7. A business uses a perpetual inventory method. What entry would be made to purchase inventory on account with terms of 2/10 net 30?

14. 7. A business uses a perpetual inventory method. What entry would be made to pay inventory on account with terms of 2/10 net 30? Accounts PayableXXX InventoryXXX CashXXX

15. 8. How would you record a return of merchandise? (from customer to your business)

16. InventoryXXX Accounts ReceivableXXX

17. 9. How would you record a sale of $1000 inventory on account? Cost of goods sold is $600

18. Cost of Goods SoldXXX InventoryXXX Accounts ReceivableXXX Sales RevenueXXX

19. 10. What entry would be made to establish a petty cash fund?

20. Petty CashXXX CashXXX

21. 11. Petty Cash was established with $300. The current balance is $50. Office supplies $100 Delivery Expense$144 What is the entry to replenish that?

22. Office Supply Expense100 Delivery Expense144 Cash Short/Over 6 Cash250

23. 12. What is the entry to record borrowing a 10% note payable. Borrowed amount is $10,000.

24. Cash10000 Notes Payable10000

25. 13. What is the entry for paying back a 10% note payable. Borrowed amount is $10,000.

26. Notes Payable10,000 Interest Payable1,000 Cash11,000

27. 14. What is the entry for recording a dividend that was previously declared? The dividend is $.50 per share on 50,000 shares

28. Dividends Payable25,000 Cash25,000

29. 15. Furniture purchased for $20,000 Accumulated Depreciation $17,000 Sold for $3,500 What is the journal entry for the sale of this furniture?

30. Accumulated Depreciation17,000 Cash3,500 Gain on Sale of furniture500 Furniture20,000