Questions are from A-J

- Part 3 Transactions - (40 Points) For each transaction, supply the accounts, amounts (debits or credits) and explanation. Space is provided for each. Jessica Jane is starting a delivery business to help with her expenses during her last year of college. These are the transactions for the first month of her business. Accounts that Jessica used were cash, accounts receivable, scooters, supplies, prepaid insurance, accounts payable, capital, drawing, delivery fees (revenue), wages exp, rent exp, and telephone exp. a. Jessica invests $2,000 in her business. She opened a bank account for the business b. Jessica bought a motor scooter, a green one, for $1,200 in cash from Joe, whose business was down the street. c. Jessica hired a friend to help her with the delivery service. As a result, she bought another scooter, a blue one, for $900. She asked Joe if she could pay for this scooter over time and did not pay cash. d. Jessica found that she had some extra cash, and paid Joe $300 on the bill for the blue scooter e. The Delivery Service received $500 for delivery services performed. Jessica had prepared the bills, and they were paid immediately. f. Jessica paid the telephone bill for $50. g. Jessica delivered bills to customers amounting to $600. No one immediately paid their bills. Jessica put this information into their accounts. h. Jessica purchased supplies for $80 with cash. i. In the mail, Jessica received $570 from customers who received bills but did not pay them immediately. What accounts are you going to increase and decrease? j. Jessica thought that Joe was so nice in extending her credit that she withdrew $150 from the business for personal use, to take Joe to dinner