Red River Painting Company incurs the following transactions for September. 1. September 3 Paint houses in the current month for $10,000 on account. 2. September 8 Purchase painting equipment for $11,000 cash. 3. September 12 Purchase office supplies on account for $1,500. 4. September 15 Pay employee salaries of $2,200 for the current month. 5. September 19 Purchase advertising to appear in the current month for $1,100 cash. 6. September 22 Pay office rent of $3,400 for the current month. 7. September 26 Receive $5,000 from customers in (1) above. 8. September 30 Receive cash of $4,000 in advance from a customer who plans to have his house painted in the following month.

Red River Painting Company incurs the following transactions for September. 1. September 3 Paint houses in the current month for $10,000 on account. 2. September 8 Purchase painting equipment for $11,000 cash. 3. September 12 Purchase office supplies on account for $1,500. 4. September 15 Pay employee salaries of $2,200 for the current month. 5. September 19 Purchase advertising to appear in the current month for $1,100 cash. 6. September 22 Pay office rent of $3,400 for the current month. 7. September 26 Receive $5,000 from customers in (1) above. 8. September 30 Receive cash of $4,000 in advance from a customer who plans to have his house painted in the following month.

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter12: Current Liabilities

Section: Chapter Questions

Problem 5PB: Review the following transactions and prepare any necessary journal entries. A. On January 5, Bunnet...

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