Reference no: EM133168378

Question - Jackson Service was formed on January 1, 2021. The following transactions took place during the first month of 2021:

January 1: Mr. Jackson invested $85,000 cash in the company, as its sole owner.

January 3: Purchased furniture and equipment costing $40,000. A cash payment of $15,000 was made immediately; the remainder will be paid in 12 months.

January 5: Paid $2400 cash for a one-year insurance policy for fire accident.

January 7: Borrowed $10,000 from a local bank, signing a one-year note.

January 8: Purchase office supplies for $700 cash.

January 10: Revenues earned for services provided of worth $25,000 where $10,000 is received in cash and the remaining is due.

January 14: Received $2500 from customers in payment of accounts receivable.

January 18: Received $3000 cash in advance for which services will be provided later in February.

Required -

a) Prepare the Journal entries for the month of January, 2021.

b) Using appropriate information prepare the Ledger account for Cash.