Furniture Supply Chair
Can you help me with my accounting problem?
I’m in highschool accounting and I have this homework problem. I have to fill in a general ledger and I honestly don’t understand any of it. One of the transactions say
“Abe Shultz transferred a desk and chairs valued at $1,200 to the business, Memorandum 52.”
What is “the business”
and where would each thing go?
I’m sooo confused any help would be great.
General Ledger Accounts:
Cash In Bank
Accts. Rec.- J. Alvarez
Grooming Supplies
Office Furniture
Grooming Equipment
Accts. Pay.- Dogs & Cats Inc.
Abe Shultz, Capital
Abe Shultz, Withdrawls
Boarding Revenue
Grooming Revenue
Salaries Expense
ps. A link to a website that can help me would work too!
THANKS SOOOOOOO MUCH!
Well, Abe Shultz is apparently the owner of the business, and he is transfering his own property (desk and chairs valued at $1,200) to his business. This increases the business’ assets and also increases Abe Shultz’ investment in his business. The entry would be
Debit ‘Office Furniture’ $1,200
Credit ‘Abe Shultz, Capital’ $1,200
—————————–
Sorry, I don’t know of any website that would really help you learn this stuff. You just need to spend more time carefully reading your textbook if the subject is giving you trouble. After a while of doing that, it will come to you and start making sense.
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