677 684 Miscellaneous expenses Repairs expense -Computer In response to requests from customers. S. Rey will begin selling computer software. The company will extend credit terms of 1/10,n/30, FOB shipping point, to all customers who purchase this merchandise. However, no cash discount is available on consulting fees. Additional accounts (Nos. 119.413, 414, 415, and 502) are added to its general ledger to accommodate the company's new merchandising activities. Its transactions for January through March follow. Jan. The company paid cash to Lyn Addie for five days work at the rate of $235 per day. Four of the five days relate to wages payable that were accrued in the prior year. 5 Santana Rey invested an additional $23,800 cash in the company in exchange for more common stock. 7 The company purchased $7,000 of merchandise from Kansas Corp. With terms of 1/10, 1/30, FOB shipping point, invoice dated January 7. 9 The company received $2,758 cash from Gomes Colas full payment on its account 11 The company completed a five-day project for Alex': Engineering Col and billede $5,420, which is the total price of $6,910 less the advance payment of $1,490. The company debited Unearned Computer Services Revenue for $1,490 13 The company sold merchandise with a retail value of $4,700 and co of 33,430 to Liu Corp. invoice dated Ianuary 13. 15 The company paid $660 cash for freight charges on the nurchandise purchased on January 16 The company received $4,060 cash from Delta Co. for computer services provided 17 The company paid Kansas Corp. for the invoice dated January, out of the discount 20 The company cave a price reduction allowance of $500 to L Corp. and credited is accounts receivable for that mount 22 The company received the balance due from Liu Corp., net of the discount and the lowance 2 The company returned defective merchandise to Kansas Corp. and cupted credit ainst future purchase (debited accounts payable). The defective merchandise invoice cost, net of the discount, was $496 96 The company purchased $9,200 of merchandise from Kansas Corp. with term or 1/10, 1/30, FOB destination invoice dated Oanuary 26. 26 The company sold merchandise with a $4,620 cost for 55.900 on credit to ko, Inc., Invoice dated January 26 11 the company paid cash to Lyn Addle for 10 days work at $235 per day 1 The company aid $2,505 cach to Hillside Hall for another three months rent in advance The company paid Kancas core for the balance de net of the wh discount, less the $406 credit to werchandise returned on January 24 5 The company paid $510 cash to Facebook for an advertisement to appear on February 3 only 11 The cowany received the balance Alex's traineering Co. for fees billed on January 11 15 The company paid a 54,790 cash dividend. 23 The company sold merchandise with a $2,640 cost for $3,370 on credit to Delta Co., invoice dated February 23. 26 The company paid cash to Lyn Addie for eight days' work at $235 per day. 27 The company reimbursed Santana Rey $256 cash for business autonobile mileage. The company recorded the reimbursement as "Mileage Expense." Mar. 8 The company purchased $2,870 of computer supplies from Harris Office Products on credit with terms of n/30, FOB destination, invoice dated March 8. 9 The company received the balance due from Delta Co. for merchandise sold on February 23 11 The company paid $870 cash for minor repairs to the company's computer 16 The company received $5,320 cash from Dream, Inc. for computing services provided 19 The company paid the full amount due of $4,000 to Harris Office Products, consisting of amounts created on December 15 (of $1,210) and March 24 The conpany billed Easy Leasing for $9,157 of computing services provided 25 The company sold merchandise with a $2,042 cost for $2,990 on credit to Wildcat Services, invoice dated March 25 30 The company sold merchandise with a $1,218 cost for 32, 240 on credit to IFM Company, invoice dated March 30. 31 The company reimbursed Santana Rey 5200 cash for business automobile mileage. The company recorded the reinbursement as "Mileage Expense." The following additional facts are available for preparing adjustments on March 31 prior to financial statement preparation: a. The March 31 amount of computer supplies still available totals $2.175. b. Prepaid Insurance coverage of $708 expired during this 3-month period. c. Lyn Addie has not been paid for seven days of work at the rate of $235 per day d. Prepaid rent of $2,505 expired during this 3 month period e. Depreciation on the computer equipment for January 1 through March 31 is $1.150. f. Depreciation on the office equipment for January 1 through March 31 is $340, 9. The March 31 amount of merchandise inventory still available totals $564 677 684 Miscellaneous expenses Repairs expense -Computer In response to requests from customers. S. Rey will begin selling computer software. The company will extend credit terms of 1/10,n/30, FOB shipping point, to all customers who purchase this merchandise. However, no cash discount is available on consulting fees. Additional accounts (Nos. 119.413, 414, 415, and 502) are added to its general ledger to accommodate the company's new merchandising activities. Its transactions for January through March follow. Jan. The company paid cash to Lyn Addie for five days work at the rate of $235 per day. Four of the five days relate to wages payable that were accrued in the prior year. 5 Santana Rey invested an additional $23,800 cash in the company in exchange for more common stock. 7 The company purchased $7,000 of merchandise from Kansas Corp. With terms of 1/10, 1/30, FOB shipping point, invoice dated January 7. 9 The company received $2,758 cash from Gomes Colas full payment on its account 11 The company completed a five-day project for Alex': Engineering Col and billede $5,420, which is the total price of $6,910 less the advance payment of $1,490. The company debited Unearned Computer Services Revenue for $1,490 13 The company sold merchandise with a retail value of $4,700 and co of 33,430 to Liu Corp. invoice dated Ianuary 13. 15 The company paid $660 cash for freight charges on the nurchandise purchased on January 16 The company received $4,060 cash from Delta Co. for computer services provided 17 The company paid Kansas Corp. for the invoice dated January, out of the discount 20 The company cave a price reduction allowance of $500 to L Corp. and credited is accounts receivable for that mount 22 The company received the balance due from Liu Corp., net of the discount and the lowance 2 The company returned defective merchandise to Kansas Corp. and cupted credit ainst future purchase (debited accounts payable). The defective merchandise invoice cost, net of the discount, was $496 96 The company purchased $9,200 of merchandise from Kansas Corp. with term or 1/10, 1/30, FOB destination invoice dated Oanuary 26. 26 The company sold merchandise with a $4,620 cost for 55.900 on credit to ko, Inc., Invoice dated January 26 11 the company paid cash to Lyn Addle for 10 days work at $235 per day 1 The company aid $2,505 cach to Hillside Hall for another three months rent in advance The company paid Kancas core for the balance de net of the wh discount, less the $406 credit to werchandise returned on January 24 5 The company paid $510 cash to Facebook for an advertisement to appear on February 3 only 11 The cowany received the balance Alex's traineering Co. for fees billed on January 11 15 The company paid a 54,790 cash dividend. 23 The company sold merchandise with a $2,640 cost for $3,370 on credit to Delta Co., invoice dated February 23. 26 The company paid cash to Lyn Addie for eight days' work at $235 per day. 27 The company reimbursed Santana Rey $256 cash for business autonobile mileage. The company recorded the reimbursement as "Mileage Expense." Mar. 8 The company purchased $2,870 of computer supplies from Harris Office Products on credit with terms of n/30, FOB destination, invoice dated March 8. 9 The company received the balance due from Delta Co. for merchandise sold on February 23 11 The company paid $870 cash for minor repairs to the company's computer 16 The company received $5,320 cash from Dream, Inc. for computing services provided 19 The company paid the full amount due of $4,000 to Harris Office Products, consisting of amounts created on December 15 (of $1,210) and March 24 The conpany billed Easy Leasing for $9,157 of computing services provided 25 The company sold merchandise with a $2,042 cost for $2,990 on credit to Wildcat Services, invoice dated March 25 30 The company sold merchandise with a $1,218 cost for 32, 240 on credit to IFM Company, invoice dated March 30. 31 The company reimbursed Santana Rey 5200 cash for business automobile mileage. The company recorded the reinbursement as "Mileage Expense." The following additional facts are available for preparing adjustments on March 31 prior to financial statement preparation: a. The March 31 amount of computer supplies still available totals $2.175. b. Prepaid Insurance coverage of $708 expired during this 3-month period. c. Lyn Addie has not been paid for seven days of work at the rate of $235 per day d. Prepaid rent of $2,505 expired during this 3 month period e. Depreciation on the computer equipment for January 1 through March 31 is $1.150. f. Depreciation on the office equipment for January 1 through March 31 is $340, 9. The March 31 amount of merchandise inventory still available totals $564