a. The company purchased equipment for $4,400 cash. The equipment is expected to be used for...

 

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a. The company purchased equipment for $4,400 cash. The equipment is expected to be used for 10 or more years. b. Joel's business bought $7,400 worth of inventory from a publisher. The company will pay the publisher within 45-60 days. c. Joel's friend Sam lent $4,400 to the business. Sam had Joel write a note promising that Bookmart.com would repay the $4,400 in four months. Because they are good friends, Sam is not going to charge Joel interest. d. The company paid $1,700 cash for books purchased on account earlier in the month. e. Bookmart.com repaid the $4,400 loan established in (c). Required: Prepare journal entries for the above transactions. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) a. The company purchased equipment for $4,400 cash. The equipment is expected to be used for 10 or more years. b. Joel's business bought $7,400 worth of inventory from a publisher. The company will pay the publisher within 45-60 days. c. Joel's friend Sam lent $4,400 to the business. Sam had Joel write a note promising that Bookmart.com would repay the $4,400 in four months. Because they are good friends, Sam is not going to charge Joel interest. d. The company paid $1,700 cash for books purchased on account earlier in the month. e. Bookmart.com repaid the $4,400 loan established in (c). Required: Prepare journal entries for the above transactions. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.)

Answer rating: 100% (QA)

a Debit Equipment 4400 Credit Cash 4400 b Debit ... View the full answer