Prepare journal entries in the accounting records of both the home office and the Exeter Branch of Wardell Company to record each of the following transactions or events (omit explanations):

a. Home office transferred cash of $5,000 and merchandise (at home office cost) of $10,000 to the branch. Both the home office and the branch use the perpetual inventory system.

b. Home office allocated operating expenses of $1,500 to the branch.

c. Exeter Branch informed the home office that it had collected $416 on a note payable to the home office. Principal amount of the note was $400.

d. Exeter Branch made sales of $12,500, terms 2/10, n /30, and incurred operating expenses of $2,500. The cost of goods sold was $8,000, and the operating expenses were paid in cash.

e. Exeter Branch had a net income of $500. (Debit Income Summary in the accounting records of the branch.)