If a two-column (all-purpose) general journal, a revenue journal, and a cash receipts journal are used, indicate thejournal in which each of the following transactions should be recorded: (a) Investment of additional cash in the business by the owner. (b) Rendering of services for cash. (c) Rendering of services on account. (d) Receipt of cash on account from a customer. (e) Sale of office supplies for cash, at cost, to a neighboring business. (f) Adjustment to record supplies used at the end of the year. (g) Closing of drawing account at the end of the year.
Question 2
These transactions relate to Rudy's Garage, an auto repair shop.
Which two of the following six possibilities occurred as a result of each transaction - an asset increased, an asset decreased, a liability increased, a liability decreased, equity increased, or equity decreased:
a. Rudy bought 5 batteries on credit. He put the batteries in inventory
b. Rudy did a repair job for a customer, who paid in cash
c. In doing the repair job, Rudy used one of the batteries he had bought in transaction a
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