Using the data in BE2-5 for Levine Legal Services, journalize the transactions. Assume all of the transactions occurred on August 31.

Data from BE2-5

1. Cash is paid for the purchase of $445 of offi ce supplies.
2. Customer is billed $1,500 for services provided that day.
3. Equipment with a cost of $2,500 is purchased on account.
4. Th e current month’s utility bill of $225 is paid in cash.
5. Cash of $500 is received for services provided that day.
6. Ruben Levine, the company’s owner, withdraws $800 cash from the company’s bank account for personal use.
7. Cash of $2,200 is paid to employees for the current month’s wages.
8. Cash of $750 is received for services to be provided in the next month.

Transaction 1:
Basic Analysis:  The asset Cash is decreased by $445. Th e asset Supplies is increased by $445.
Debit/Credit: Debits increase assets: debit Supplies $445.
Analysis: Credits decrease assets: credit Cash $445.