On October 1, 2017, Santana Rey launched a computer services company called Business Solutions, which provides consulting services, computer system installations, and custom program development. Rey adopts the calendar year for reporting purposes and expects to prepare the company's first set of financial statements on December 31, 2017. The company's initial chart of accounts follows.

AccountNo.AccountNo.Cash101S. Rey, Capital301Accounts Receivable106S. Rey, Withdrawals302Computer Supplies126Computer Services Revenue403Prepaid Insurance128Wages Expense623Prepaid Rent131Advertising Expense655Office Equipment163Mileage Expense676Computer Equipment167Miscellaneous Expenses677Accounts Payable201Repairs ExpenseComputer684

Oct.1S. Rey invested $45,000 cash, a $20,000 computer system, and $8,000 of office equipment in the company.

2The company paid $3,300 cash for four months' rent. (Hint: Debit Prepaid Rent for $3,300.)3The company purchased $1,420 of computer supplies on credit from Harris Office Products.5The company paid $2,220 cash for one year's premium on a property and liability insurance policy. (Hint: Debit Prepaid Insurance for $2,220.)

6The company billed Easy Leasing $4,800 for services performed in installing a new Web server.8The company paid $1,420 cash for the computer supplies purchased from Harris Office Products on October 3.

10The company hired Lyn Addie as a part-time assistant for $125 per day, as needed.12The company billed Easy Leasing another $1,400 for services performed.15The company received $4,800 cash from Easy Leasing as partial payment on its account.17The company paid $805 cash to repair computer equipment that was damaged when moving it.20The company paid $1,728 cash for advertisements published in the local newspaper.22The company received $1,400 cash from Easy Leasing on its account.28The company billed IFM Company $5,208 for services performed.31The company paid $875 cash for Lyn Addie's wages for seven days' work.31S. Rey withdrew $3,600 cash from the company for personal use.Nov.1The company reimbursed S. Rey in cash for business automobile mileage allowance (Rey logged 1,000 miles at $0.32 per mile).

2The company received $4,633 cash from Liu Corporation for computer services performed.5The company purchased computer supplies for $1,125 cash from Harris Office Products.8The company billed Gomez Co. $5,668 for services performed.13The company received notification from Alex's Engineering Co. that Business Solutions's bid of $3,950 for an upcoming project was accepted.

18The company received $2,208 cash from IFM Company as partial payment of the October 28 bill.22The company donated $250 cash to the United Way in the company's name.24The company completed work for Alex's Engineering Co. and sent Alex's a bill for $3,950.25The company sent another bill to IFM Company for the past-due amount of $3,000.28The company reimbursed S. Rey in cash for business automobile mileage (1,200 miles at $0.32 per mile).

30The company paid $1,750 cash for Lyn Addie's wages for 14 days' work.30S. Rey withdrew $2,000 cash from the company for personal use.

Required:

1. Prepare journal entries to record each of the above transactions for Business Solutions.

2. Prepare ledger accounts (in balance column format) and post the journal entries from requirement 1 to them.

3. Prepare trial balance as of the end of November.