Oct.1 Purchased office building for $523,000, which included land, building, and office equipment. Financed with a 30 year loan from the bank with an interest rate of 6% (ordinary annuity). The first payment is due November 1. Appraisal of the property came in at $605,000 with the land appraised at $242,000; building, $308,550; and office furniture, $54,450. (A/C 250 Mortgage Payable) 2 1 Received partial payment of 6,000 from KC, Inc. 3 2 The company paid for merchandise purchased from Kansas Corp. on Sept 10 with a cost of $10,760 and terms of 1/10, n/30, FOB shipping point, invoice dated September 10. 4 4 The company paid $7,020 cash for one year's premium on a property and liability insurance policy. The company initially records insurance as a prepaid expense. 5 5 The company sold merchandise with a retail value of $7,350 and a cost of $5,395 to Liu Corp., invoice dated October 5. 6 7 The company completed a project for Delta, Co. and billed them $4,600. 7 7 The company purchased $765 of computer supplies on credit from Harris Office Products. (Set Harris Office Products up as vendor.) 8 9 The company received $5,220 cash from IFM Co. as full payment on its account. 9 9 The company billed Wildcat Services $6,300 for services performed in installing a new Web server. 10 10 The company purchased $5,200 of merchandise from Kansas Corp. with terms of 1/10, n/30, FOB shipping point, invoice dated October 10. 11 11 The company completed a five-day project for Alex's Engineering Co. and billed it $7,300 12 13 The company sold merchandise with a retail value of $2,500 and a cost of $1,120 to Gomez Co, invoice dated October 13.

13 15 The company paid salaries and wages for Oct. 1 - 15: Lyn Addie for 11 days' work at the rate of $150 per day. Ramona Santana receives a monthly salary of $5,700 and gets paid twice a month. 14 15 The company paid $300 cash for freight charges on the merchandise purchased on Oct 10. 15 16 The company received $4,600 cash from Delta Co. for computer services provided (see the transaction on Oct 7). 16 17 The company paid Kansas Corp. for the invoice dated October 10, net of the discount. 17 20 Liu Corp. returned $400 of defective merchandise from its invoice dated October 5. The returned merchandise had a $190 cost and was discarded. (The policy of Computer Solutions is to leave the cost of defective products in cost of goods sold.) 18 22 The company received the balance due from Liu Corp., net of the credit for the returned merchandise. 19 24 The company returned defective merchandise to Kansas Corp. and accepted a credit against future purchases. The defective merchandise invoice cost, net of the discount, was $704. 20 26 The company purchased $8,900 of merchandise from Kansas Corp. with terms of 1/10, n/30, FOB destination, invoice dated October 26. 21 26 The company sold merchandise with a $2,950 cost for $5,300 on credit to Gomez Co, Inc., invoice dated October 26. 22 29 The company recorded cash sales of $8,850. The merchandise cost Computer Solutions $4,790. 23 29 Gomez Co. paid balance due of $7,800 24 29 The company paid salaries and wages to Lyn Addie and Ramona Santana. Lyn Addie worked 10 days' work at $150 per day, and Ramona's semi-monthly pay is $2,850. 25 30 Received word that KC, Inc. has filed for bankruptcy and payment of account is unlikely. Ramona has asked you to write-off their balance.

What are the journal entries for each transaction?