The following transactions of Carswell Wholesale Inc. occurred in the month of September 2016:

Date:

Sept. 1Issued 200 common shares for $20,000.

4 To raise additional capital, Carswell borrowed $10,000 from the bank on a long-term loan.

7 Purchased equipment for $4,500.

9 Purchased inventory costing $2,500 on account.

15 Sold units from inventory to customers, on account, for $4,000.

19 Purchased additional inventory, on credit, at a cost of $2,100 to replace the units sold.

20 Made payments of $2,700 on its accounts payable.

21 Purchased a used delivery van for $15,000.

28 At month end, counted inventory and determined that the cost of the units sold on September 15 totalled $1,800.

28 Paid employee wages of $700 for the month.

29 Received an invoice from the local newspaper for $400 for advertising run during the month of September. The invoice is due on October 15.

30 Paid utilities costs of $150 for the month.

30 During the month, Carswell received $2,200 from customers as payments on their accounts.

Required:

Analyze and record these transactions using the template method.

Transcribed Image Text:

ASSETS LIABILITIES S/H EQUITY Delivery Bank Loan Common yableShares E R/EDD Date/Ref. Cash A/R Inv. EquipVan A/P Pa