Question

knowledge check 01
on april 7, carlton company purchases supplies for $600 cash. provide the journal entry for this transaction.
view transaction list
journal entry worksheet
on april 7, carlton company purchases supplies for $600 cash.
note: enter debits before credits.
date account title debit credit
april 07

Explanation:

Step1: Identify accounts affected

The company is purchasing supplies (an asset account) and paying with cash (also an asset account).

Step2: Apply debit - credit rules

When an asset is increased, it is debited, and when an asset is decreased, it is credited. Supplies are increasing and cash is decreasing.

Step3: Record journal entry

Debit the Supplies account and credit the Cash account for the amount of the purchase.

Answer:

Date	Account Title	Debit	Credit
April 07	Cash		600