1)Prepare journal entries to record each of the January through March transaction.

2) post the journal entries in part 1 to the accounts in the company's general ledger ( note: Begin with the ledger's post- closing adjusted balance as of December 31,3013), and please prepare an unadjusting trial balance for March, 31 st

223 Chapter 5 Accounting for Merchandising operations SERIAL PROBLEM (This serial problem began in Chapter l and conti through most of the book previous chapte point is helpful burnot necessary to Success Systems use the Working Papers that accompany the book) Sage 50 s Lopez created success systems on october I, 2013. The company has been successful. and its list of customers has grown. To the growth, the accounting system is modified to sct up separate accounts for each customer. The following chart of accounts includes the accoun number used for each account and any balance as of December 3i, 2013. Adrian Lopez decided to add a fourth digit with decimal point to the 106 account number that had been used for the single Accounts Receivable account. This change allows the company to continue using the existing chart of accounts. Account Title 500 $58160 wages payable Alex's Engineering Co. Unearned computer services revenwe Wildcat Services A Lopez Capital A Lopez withdrawals IFM Co. Computer services revenue 413 Sales returns and allowances Gomez Co 067 Delta Co Cost of goods sold Depreciation expense once equipment 612 1069 Dream Inc. 613 Prepaid insurance 637 Inturance expense Computer supplies expense Advertising expense 400 626 Mileage expense Computer equipment Msoelaneous expenses In response to requests from customers, A. Lopez will begin selling computer software. The com this mere will extend credit terms of on consulting fees. Additional accoun se. However, no cash discount is available the company's new merchan- 13.414, 415, and 502) are added to its general to accommodate and, therefore, all revenue and daing activities. Also, success systems does not use reversing entries lis transactions for January expense accounts have zero beginning balances as of January 1, 2014. through March follow: days' work at the rare ofs12sper day. Four of the Jan 4 The company paid cash to Lyn for five in the prior year. Addie five days relate to wages payable that were accrued the company. 3 Lopez an cash in n/yo, 7 The company purchased $5.800 of merchandise from Kansas Corp. with terms of I/lo. 9 The company received $2.668 cash from Gomez Co. as full payment on its 11 The company comp less the advance payment of $1,500. of s3,560 to Li hich total $7.000 200 and a cost 3 The company sold merchandise with a retail value of ss invoice 13 charges on the merchandise on January 7, 15 The company paid $600 cash for freight 4000 each the invoice dated January 7 net of the The company paid Kansas Corp. for from its invoice dated January 13. The check turned S500 of mer returned merchandise, which had a s320 cost, is discarded. The to leave the cost of defective products in cost of goods sold