Journal Entry Problems and Solutions Format Examples

journal entry practice exercises

Record all the appropriate entries required by the two companies for this consignment transaction. You can download the paper by clicking the button above. …We want our people to be themselves and to be bold enough to apply their talents as individuals.


6.7Record journal entries for the following purchase transactions of Flower Company. LO

6.4Record the journal entries for the following sales transactions of Apache Industries. LO

6.4Record journal entries for the following sales transactions of Flower Company.

Exercise 5.11

Assume the contract described above is signed on October 1 and Mr. Ledger’s fiscal year end is December 31. Prepare all the required journal entries for Mr. Ledger between these two dates. Jan. 1 The company received $ 560,000 cash and $ 240,000 of office furniture in exchange for $ 800,000 of capital stock. Problem E Marc Miller prepared the following trial balance from the ledger of the Quick-Fix TV Repair Company.

journal entry practice exercises

The professor purchased all of the materials for the job. Miscellaneous Expense (Account No. 568), with a balance of $ 3,200, was omitted from the trial balance. 31 Sales of delivery services on account amounted to $ 11,400.

Chapter 4 Exercise: Recording transactions with journal entries Transactional Journal Entries

July 1 The company issued $ 600,000 of capital stock for cash. 14 Supplies were purchased on account for use this month, $ 3,000. He started business with capital of Rs. 15,000 and Land worth Rs. 10,000. Step 1 – At the time of providing interest to the partner via his/her capital account. Example Part 2 – 2,000 rent received in the previous month to be adjusted this month.

Paid rent for the month of August Rs. 4,400 and accrued rent expenses was Rs. 600. Step 2 – At the time of transferring interest to the P&L appropriation account. Example Part 1 – Received 2,000 rent advance in Dec for next month. Step 2 – Adjustment entry when the prepaid expense expires. It may be possible to receive discounts from suppliers in certain situations for e.g. if a firm purchases in bulk or in case of early payment.

Journal Entry for Asset Purchase

The company has reviewed historical financial data and determined that 0.5% of all desks sold are returned for a refund. During the month of January, the company sold 800 desks. LO

6.3Record the journal entry for each of the following transactions. Glow Industries purchases 750 strobe lights at $23 per light from a manufacturer on April 20. The terms of purchase are 10/15, n/40, invoice dated April 20.

A debit of $ 16,000 for a semiannual dividend was posted as a credit to the Capital Stock account. 29 Paid the equipment repair bill received on the 19th, $ 225. 20 Received bill for gasoline purchased and used in January, $ 180. 15 Received and paid a bill for $ 430 for supplies used in operations. 3 Paid rent for August on a building and laundry equipment rented, $ 3,000. 13 Purchased $ 240 of supplies on account for use in December.

How do I get better at journal entries?

  1. Which accounts are affected by the transaction.
  2. For each account, determine if it is increased or decreased.
  3. For each account, determine how much it is changed.
  4. Make sure that the accounting equation stays in balance.