Reference no: EM132470775
Problem - The following transactions are July 2014 activities of Craig's Bowling, Inc., which operates several bowling centres (for games and equipment sales).
Craig's sold bowling merchandise costing $6,800. [Craig's sold bowling equipment inventory for $8,000; received $3,000 in cash and the rest on account.]
Craig's paid $800 on the electricity bill for June (recorded as expense in June).
Craig's paid $3,500 to employees for work in July.
Craig's purchased $1,500 in insurance for coverage from July 1 to October 1.
Craig's paid $700 to plumbers for repairing a broken pipe in the restrooms.
Craig's received the July electricity bill for $900 to be paid in August.
Required - Prepare the journal entry for the above transactions.