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	$	48,552
106.1	Alexs Engineering Co.		0
106.2	Wildcat Services		0
106.3	Easy Leasing		0
106.4	IFM Co.		3,000
106.5	Liu Corp.		0
106.6	Gomez Co.		2,768
106.7	Delta Co.		0
106.8	KC, Inc.		0
106.9	Dream, Inc.		0
119	Merchandise inventory		0
126	Computer supplies		730
128	Prepaid insurance		1,827
131	Prepaid rent		925
163	Office equipment		8,080
164	Accumulated depreciationOffice equipment				$	320
167	Computer equipment		21,500
168	Accumulated depreciationComputer equipment					1,110
201	Accounts payable					1,200
210	Wages payable					940
236	Unearned computer services revenue					1,350
301	S. Rey, Capital					82,462
302	S. Rey, Withdrawals		0
403	Computer services revenue					0
413	Sales					0
414	Sales returns and allowances		0
415	Sales discounts		0
502	Cost of goods sold		0
612	Depreciation expenseOffice equipment		0
613	Depreciation expenseComputer equipment		0
623	Wages expense		0
637	Insurance expense		0
640	Rent expense		0
652	Computer supplies expense		0
655	Advertising expense		0
676	Mileage expense		0
677	Miscellaneous expenses		0
684	Repairs expenseComputer		0

In response to requests from customers, S. Rey will begin selling computer software. The company will extend credit terms of 1/10, n/30, FOB shipping point, to all customers who purchase this merchandise. However, no cash discount is available on consulting fees. Additional accounts (Nos. 119, 413, 414, 415, and 502) are added to its general ledger to accommodate the companys new merchandising activities. Its transactions for January through March follow:

Jan.		4		The company paid cash to Lyn Addie for five days work at the rate of $235 per day. Four of the five days relate to wages payable that were accrued in the prior year.
		5		Santana Rey invested an additional $23,200 cash in the company.
		7		The company purchased $6,000 of merchandise from Kansas Corp. with terms of 1/10, n/30, FOB shipping point, invoice dated January 7.
		9		The company received $2,768 cash from Gomez Co. as full payment on its account.
		11		The company completed a five-day project for Alexs Engineering Co. and billed it $5,500, which is the total price of $6,850 less the advance payment of $1,350. The company debited Unearned Computer Services Revenue for $1,350.
		13		The company sold merchandise with a retail value of $4,900 and a cost of $3,450 to Liu Corp., invoice dated January 13.
		15		The company paid $790 cash for freight charges on the merchandise purchased on January 7.
		16		The company received $4,130 cash from Delta Co. for computer services provided.
		17		The company paid Kansas Corp. for the invoice dated January 7, net of the discount.
		20		The company gave a price reduction (allowance) of $600 to Liu Corp., and credited Liu's accounts receivable for that amount.
		22		The company received the balance due from Liu Corp., net of the discount and the allowance.
		24		The company returned defective merchandise to Kansas Corp. and accepted a credit against future purchases (debited accounts payable). The defective merchandise invoice cost, net of the discount, was $486.
		26		The company purchased $9,200 of merchandise from Kansas Corp. with terms of 1/10, n/30, FOB destination, invoice dated January 26.
		26		The company sold merchandise with a $4,490 cost for $5,950 on credit to KC, Inc., invoice dated January 26.
		31		The company paid cash to Lyn Addie for 10 days work at $235 per day.
Feb.		1		The company paid $2,775 cash to Hillside Mall for another three months rent in advance.
		3		The company paid Kansas Corp. for the balance due, net of the cash discount, less the $486 credit from merchandise returned on January 24.
		5		The company paid $430 cash to Facebook for an advertisement to appear on February 5 only.
		11		The company received the balance due from Alexs Engineering Co. for fees billed on January 11.
		15		Santana Rey withdrew $4,680 cash from the company for personal use.
		23		The company sold merchandise with a $2,590 cost for $3,260 on credit to Delta Co., invoice dated February 23.
		26		The company paid cash to Lyn Addie for eight days work at $235 per day.
		27		The company reimbursed Santana Rey $192 for business automobile mileage. The company recorded the reimbursement as "Mileage Expense."
Mar.		8		The company purchased $2,780 of computer supplies from Harris Office Products on credit with terms of n/30, FOB destination, invoice dated March 8.
		9		The company received the balance due from Delta Co. for merchandise sold on February 23.
		11		The company paid $780 cash for minor repairs to the companys computer.
		16		The company received $5,330 cash from Dream, Inc., for computing services provided.
		19		The company paid the full amount due of $3,980 to Harris Office Products, consisting of amounts created on December 15 (of $1,200) and March 8.
		24		The company billed Easy Leasing for $9,117 of computing services provided.
		25		The company sold merchandise with a $2,132 cost for $2,960 on credit to Wildcat Services, invoice dated March 25.
		30		The company sold merchandise with a $1,108 cost for $2,370 on credit to IFM Company, invoice dated March 30.
		31		The company reimbursed Santana Rey $96 for business automobile mileage. The company recorded the reimbursement as "Mileage Expense."

The following additional facts are available for preparing adjustments on March 31 prior to financial statement preparation:

1. The March 31 amount of computer supplies still available totals $2,205.
2. Prepaid Insurance coverage of $609 expired during this 3-month period.
3. Lyn Addie has not been paid for seven days of work at the rate of $235 per day.
4. Prepaid rent of $2,775 expired during this 3-month period.
5. Depreciation on the computer equipment for January 1 through March 31 is $1,110.
6. Depreciation on the office equipment for January 1 through March 31 is $320.
7. The March 31 amount of merchandise inventory still available totals $584.

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