Journal-entries-exercises-with-answers May 2026

Prepare the journal entries for the following business transactions:

: The owner invests $50,000 cash into the business.

: Performed services for $2,500 and billed the customer (on account).

: The company buys office equipment for $5,000 on credit. Expense Payment : Paid $1,200 for the current month's rent.

: Performed services and received $3,000 cash immediately.

: Collected $1,000 from the customer billed in Transaction #5.

: The business paid $500 in cash dividends to stockholders. Solutions & Explanations

Accounting Principles: Journal Entry T Account Practice Problem