Santana Rey created Business Salutikns on October 1, 2019 The company has been successful, and its lost of customers has grown. To accommodate the growth, the accounting system is modified to set up separate account 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.

prepare journal entries

No. Credit Debit $48,512 3,150 3 2,708 0 Account Title 101 Cash 106.1 Alex's Engineering Co. 106.2 Wildcat Services 106.3 Easy Leasing 106.4 IFM Co. 106.5 Liu Corp. 106.6 Gomez Co. 106.7 Delta Co. 106.8 KC, Inc. 106.9 Dream, Inc. 119 Merchandise inventory 126 Computer supplies 128 Prepaid insurance 131 Prepaid rent 163 Office equipment 164 Accumulated depreciation-office equipment 167 Computer equipment 168 Accumulated depreciation-Computer equipment 201 Accounts payable 210 Wages payable 236 Unearned computer services revenue 301 S. Rey, Capital 302 S. Rey, Withdrawals 403 Computer services revenue 413 Sales 414 Sales returns and allowances 415 Sales discounts 650 1,800 865 8,080 $ 220 21,200 1,080 1,140 580 1,490 82,455 415 502 612 613 623 637 640 652 655 676 677 684 Sales discounts Cost of goods sold Depreciation expense-Office equipment Depreciation expense-Computer equipment Wages expense Insurance expense Rent expense Computer supplies expense Advertising expense Mileage expense Miscellaneous expenses Repairs expense-Computer oooooooooooo 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 company's 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 $145 per day. Four of the five days relate to wages payable that were accrued in the prior year. 5 Santana Rey invested an additional $24,300 cash in the company. 7 The company purchased $6,309 of merchandise from Kansas Corp. with terns of 1/10, n/30, FOB shipping point, invoice dated January 7. 9 The company received $2,708 cash from Gomez Co. as full payment on its account. 11 The company completed a five-day project for Alex's Engineering Co. and billed it $5,410, which is the total price of $6,900 less the advance payment of $1,490. The company debited Unearned Computer Services Revenue for $1,490. 13 The company sold merchandise with a retail value of $4,800 and a cost of $3,430 to Liu Corp., invoice dated January 13 15 The company paid $660 cash for freight charges on the merchandise purchased on January 7. 16 The company received $4,060 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 $700 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 $9,800 of merchandise from Kansas Corp. with terms of 1/10, n/30, FOB destination, involce dated January 26. 26 The company sold merchandise with a $4,630 cost for $5,980 on credit to KC, Inc., Invoice dated January 26. 31 The company paid cash to Lyn Addie for 10 days' work at $145 per day. Feb. 1 The company paid $2,595 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 Tanuary 24 26 The company sold merchandise with a $4,630 cost for $5,980 on credit to KC, Inc., invoice dated January 26. 31 The company paid cash to Lyn Addie for 10 days' work at $145 per day. Feb. 1 The company paid $2,595 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 $570 cash to Facebook for an advertisement to appear on February 5 only. 11 The company received the balance due from Alex's Engineering Co. for fees billed on January 11. 15 Santana Rey withdrew $4,750 cash from the company for personal use. 23 The company sold merchandise with a $2,660 cost for $3,250 on credit to Delta Co., invoice dated February 23. 26 The company paid cash to Lyn Addie for eight days' work at $145 per day. 27 The company reimbursed Santana Rey $192 for business autonobile mileage. The company recorded the reimbursement as "Mileage Expense." 8 The company purchased $2,740 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 $810 cash for minor repairs to the company's computer. 16 The company received $5,310 cash from Dream, Inc., for computing services provided. 19 The company paid the full amount due of $3,880 to Harris Office Products, consisting of amounts created on December 15 (of $1,140) and March 8. 24 The company billed Easy Leasing for of computing services provided. 25 The company sold merchandise with a $2,042 cost for $2,920 on credit to Wildcat Services, invoice dated March 25. 30 The company sold merchandise with a $1,228 cost for $2,400 on credit to IFM Company, invoice dated March 38. 31 The company reimbursed Santana Rey $128 for business automobile mileage. The company recorded the reimbursement as "Mileage Expense." Mar. The following additional facts are available for preparing adjustments on March 31 prior to financial statement preparation: The following additional facts are available for preparing adjustments on March 31 prior to financial statement preparation: a. The March 31 amount of computer supplies still available totals $2,095. b. Prepaid Insurance coverage of $600 expired during this 3-month period. c. Lyn Addie has not been paid for seven days of work at the rate of $145 per day. d. Prepaid rent of $2,595 expired during this 3-month period. e. Depreciation on the computer equipment for January 1 through March 31 is $1,080. f. Depreciation on the office equipment for January 1 through March 31 is $220. g. The March 31 amount of merchandise inventory still available totals $554