After the success of the company's first two months, Santana Rey continues to operate Business Solutions. The November 30, 2017, unadjusted trial balance of Business Solutions (reflecting its transactions for October and November of 2017) follows Account Title Credit No. 101 Cash 106 Accounts receivable 126 Computer supplies 128 Prepaid insurance Debit 38,264 12,618 2,545 2,220 3,300 8,000 prepaid rent 163 Office equipment 164 Accumulated depreciation-Office equipment 167 Computer equipment 168Accumulated depreciation-Computer equipment 201 Accounts payable 210 Wages payable 236 Unearned computer services revenue 307 Common stock 318 Retained earnings 319 Dividends 403 Computer services revenue 612 Depreciation expense-Office equipment 613 Depreciation expense-Computer equipment 623 Wages expense 637Insurance expense 640 Rent expense 652 Computer supplies expense 655 Advertising expense 676 Mileage expense 677 Miscellaneous expenses 684 Repairs expense-Computer 20,000 73,000 5,600 25,659 2,625 1,728 704 250 805 Totals $98,659 $98,659 Business Solutions had the following transactions and events in December 2017 Dec. 2 Paid $1,025 cash to Hillside Mall for Business Solutions' share of mall advertising costs. 3 Paid $500 cash for minor repairs to the company's computer. 4 Received $3,950 cash from Alex's Engineering Co. for the receivable from November 10 Paid cash to Lyn Addie for six days of work at the rate of $125 per day. 14 Notified by Alex's Engineering Co. that Business Solutions' bid of $7,000 on a proposed project has been accepted. Alex's paid a $1,500 cash advance to Business Solutions. 15 Purchased $1,100 of computer supplies on credit from Harris Office Products. 16 Sent a reminder to Gomez Co. to pay the fee for services recorded on November 8. 20 Completed a project for Liu Corporation and received $5,625 cash. 22-26 Took the week off for the holidays. 28 Received $3,000 cash from Gomez Co. on its receivable. 29 Reimbursed S. Rey for business automobile mileage (600 miles at $0.32 per mile) 31 The company paid $1,500 cash in dividends The following additional facts are collected for use in making adjusting entries prior to preparing financial statements for the company's first three months a. The December 31 inventory count of computer supplies shows $580 still available b. Three months have expired since the 12-month insurance premium was paid in advance c. As of December 31, Lyn Addie has not been paid for four days of work at $125 per day. d. The computer system, acquired on October 1, is expected to have a four-year life with no salvage value e. The office equipment, acquired on October 1, is expected to have a five-year life with no salvage value f. Three of the four months' prepaid rent has expired 2-b. Post the journal entries to record each of the December transactions, adjusting entries to the accounts in the ledger Cash Accounts Receivable Date Debit Credit Balance Date Debit Credit Balance Dec. 01 38,264 Dec. 01 12,618 Computer Supplies Prepaid Insurance Date Debit Credit Balance Date Debit Credit Balance Dec. 01 2,545 Dec. 01 2,220 Prepaid Rent Office Equipment Debit Date Debit Credit Balance Date Credit Balance Dec. 01 3,300 Dec. 01 8,000 Accumulated Depreciation-Office Equipment Date Computer Equipment Debit Credit Balance Date Debit Credit Balance Dec. 01 0 Dec. 01 20,000 Accumulated Depreciation Computer Equipment Date Accounts Payable Debit Credit Balance Date Debit Credit Balance Dec. 01 0 Dec. 01 Wages Payable Unearned Computer Services Revenue Date Debit Credit Balance Date Debit Credit Balance Dec. 01 0 Dec. 01 Retained Earnings Debit Common Stock Date Debit Credit Balance Date Credit Balance Dec. 01 73,000 De Dividends Computer Services Revenue Date Debit Credit Balance Date Debit Credit Balance Rent Expense Computer Supplies Expense Date Debit Credit Balance Date Debit Credit Balance Dec. 01 0 Dec. 01 Advertising Expense Debit Mileage Expense Debit Date Credit Balance Date Credit Balance Dec. 01 1,728 Dec. 01 704 Repairs Expense-Computer Miscellaneous Expense Credit Date Debit Balance Date Debit Credit Balance Dec. 01 250Dec. 01 805 Income Summary Date Debit Credit Balance