Refer to the transactions for Overnight Delivery Inc. in Problem 3-6A.

Required

1. Prepare journal entries on the books of Overnight to record the transactions entered into during February.

2. Explain why you agree or disagree with the following: The transactions on February 28 all represent expenses for the month of February because cash was paid. The transaction on February 27 does not represent an expense in February because cash has not yet been paid.