Required information (The following information applies to the questions displayed below.] Below are several transactions for Scarlet Knight Corporation. A junior accountant, recently employed by the company, proposes to record the following transactions. Credit External Transaction 1. Owners invest $8,500 in the company and receive common stock. Accounts Common Stock Cash Debit 8,500 8,500 2. Receive cash of $2,700 for services provided in the current period. 2,700 Cash Service Revenue 2,700 3. Purchase office supplies on account, $170. 170 Supplies Cash 170 4. Pay $470 for next month's rent. 470 Rent Expense Cash 470 5. Purchase office equipment with cash of $1,550. 1,550 Cash Equipment 1,550 Required: 1. Assess whether the proposed entries are correct or incorrect. External Transaction 1. 2. 3. 4. 5