Selected transactions from the general journal of Kang, Inc. for its first month of operations are presented here:

Instructions
(a) Prepare an explanation for each of the journal entries listed above.
(b) Using T accounts, post the journal entries to the general ledger.
(c) Prepare a trial balance at August 31, 2015.

Transcribed Image Text:

GENERAL JOURNAL Date Account Titles Debit Credit 3,000 1,800 1,500 Aug. Cash 3,000 1,800 4,000 Common Shares 7 Cash Service Revenue 11 Equipment Cash Bank Loan Payable 2,500 1,450 900 14 Accounts Receivable 16 Cash 28 Cash 30 Salary Expense 31 Dividends 1,450 Service Revenue Unearned Revenue Accounts Receivable Cash Cash 700 2,000 500 700 2,000 500