2012 May 1 Transactions Started a household machines business putting 25,000 into a business bank account....

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2012 May 1 Transactions Started a household machines business putting 25,000 into a business bank account. 3 Bought equipment on credit from House Supplies 12,000. 4 Withdrew 150 cash from the bank and placed it in the cash box. 2012 May 7 Bought a van paying by cheque, 6,800. 10 Sold some equipment that was not needed at cost of 1,100 on credit to J. Rose. 21 Returned some of the equipment costing 2,300 to House Supplies. 28 J. Rose pays the amount owing, 1,100, by cheque. 30 Bought another van paying by cheque 4,300. 31 Paid 9,700 to House Supplies by cheque. Effect Action Required: (a) Fill up the effect in the column provided in the table above with reference to the accounting equation concept, ie. asset, liability or owner's equity. (b) For each transactions above, prepare journal entries with its narrations/ descriptions. (c) Record the transations above into the relevant T-account format and closed the accounts at the end of May 2012. (d) Record the transations above into the relevant columnar account format and closed the accounts at the end of May 2012. 2012 May 1 Transactions Started a household machines business putting 25,000 into a business bank account. 3 Bought equipment on credit from House Supplies 12,000. 4 Withdrew 150 cash from the bank and placed it in the cash box. 2012 May 7 Bought a van paying by cheque, 6,800. 10 Sold some equipment that was not needed at cost of 1,100 on credit to J. Rose. 21 Returned some of the equipment costing 2,300 to House Supplies. 28 J. Rose pays the amount owing, 1,100, by cheque. 30 Bought another van paying by cheque 4,300. 31 Paid 9,700 to House Supplies by cheque. Effect Action Required: (a) Fill up the effect in the column provided in the table above with reference to the accounting equation concept, ie. asset, liability or owner's equity. (b) For each transactions above, prepare journal entries with its narrations/ descriptions. (c) Record the transations above into the relevant T-account format and closed the accounts at the end of May 2012. (d) Record the transations above into the relevant columnar account format and closed the accounts at the end of May 2012.

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Stepbystep explanation Transaction amount in Euros Effect Action amount in Euros May1 started a hous... View the full answer