Birdy Consulting Co. has the following accounts in its ledger: Cash, Accounts Receivable, Supplies, Office Equipment, Accounts Payable, Common Stock, Retained Earnings, Dividends, Fees Earned, Rent Expense, Advertising Expense, Utilities Expense, Miscellaneous Expense.

Question

Journalize the following selected transactions for January 20Y2 in a two-column journal. Journal entry explanations may be omitted. If an amount box does not require an entry, leave it blank.

Date Transactions
Jan. 1. Paid rent for the month, $3,000.
4. Paid advertising expense, $2,500.
5. Paid cash for supplies, $1,800.
6. Purchased office equipment on account, $13,900.
12. Received cash from customers on account, $14,770.
20. Paid creditor on account, $1,475.
27. Paid cash for miscellaneous expenses, $700.
30. Paid utility (heating) bill for the month, $610.
31. Fees earned and billed to customers for the month, $37,300.
31. Paid utility (electricity) bill for the month, $900.
31. Paid dividends, $800.

Answer 1

Here is the journalized version of the selected transactions for Birdy Consulting Co. in January 20Y2:

| Date | Account Titles and Explanation | Debit | Credit | |------------|---------------------------------------|-----------|-----------| | Jan. 1 | Rent Expense | 3,000 | | | | Cash | | 3,000 | | Jan. 4 | Advertising Expense | 2,500 | | | | Cash | | 2,500 | | Jan. 5 | Supplies | 1,800 | | | | Cash | | 1,800 | | Jan. 6 | Office Equipment | 13,900 | | | | Accounts Payable | | 13,900 | | Jan. 12 | Cash | 14,770 | | | | Accounts Receivable | | 14,770 | | Jan. 20 | Accounts Payable | 1,475 | | | | Cash | | 1,475 | | Jan. 27 | Miscellaneous Expense | 700 | | | | Cash | | 700 | | Jan. 30 | Utilities Expense (Heating) | 610 | | | | Cash | | 610 | | Jan. 31 | Accounts Receivable | 37,300 | | | | Fees Earned | | 37,300 | | Jan. 31 | Utilities Expense (Electricity) | 900 | | | | Cash | | 900 | | Jan. 31 | Dividends | 800 | | | | Cash | | 800 |

This journal reflects all the selected transactions with the appropriate debits and credits for each account.