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

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 balances as of December 31, 2019.

3. Prepare a 6-column work sheet that includes the unadjusted trial balance, the March 31 adjustments (a) through (g), and the adjusted trial balance. Do not prepare closing entries and do not journalize the adjustments or post them to the ledger.

 

Required information [The following information applies to the questions displayed below.] Santana Rey created Business Solutions on October 1, 2019. The company has been successful, and its list of customers has grown. To accommodate the growth, the accounting system is modified to set up separate accounts for each customer. The following chart of accounts includes the account number used for each account and any balance as of December 31, 2019. Santana Rey decided to add a fourth digit with a 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. No. Account Title Debit Credit 101 Cash $48,432 106.1 Alex's Engineering Co. 106.2 wildcat Services 106.3 Easy Leasing 106.4 IFM Co. 3,120 106.5 Liu Corp. 106.6 Gomez Co. 2,878 106.7 Delta Co. 106.8 KC, Inc. 106.9 Dream, Inc. 119 Merchandise inventory 126 Computer supplies Prepaid insurance Prepaid rent office equipment 640 128 2,097 131 835 163 8,100 164 Accumulated depreciation-Office equipment Computer equipment Accumulated depreciation-Computer equipment Accounts payable 210 167 21,900 1,240 1,200 168 201 210 Wages payable Unearned computer services revenue Common stock Retained earnings 900 236 1,430 307 74,462 318 8,560 319 Dividends 403 Computer services revenue 413 Sales 414 Sales returns and allowances 415 Sales discounts 502 Cost of goods sold Depreciation expense-Office equipment Depreciation expense-Computer equipment Wages expense Insurance expense 612 613 623 637 640 Rent expense Computer supplies expense Advertising expense Mileage expense Miscellaneous expenses Repairs expense-Computer 652 655 676 677 684