Santana Rey created Business Solutions on October 1, 2021. 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 bccount and any balance as of December 31, 2021. 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: 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. January \& the conpany paid eanh to Lyn Madie for five days" work at the rate of $125 per day. Four of the five dayn relate to vagen payable that were acerued in the prior yeak. Jenuary 3 santann Hey invented an additional $24,600 cash in the coepany. Jnnuary 7 the conpany purehaned $6,800 of merehandise fron Kansas Corporation with terme of 1/10, n/30, rob thipping point, invoice dated January 7. Janianzy 11 The company conpleted a five-day project for Alex'n Fngineering Conpany and bliled it 55 ; 400 , which in the total price of 56,900 lens the advance payment of 51,500 . The company debited Unearned Conputer Servicen Revense for $1,500. January 13 The coopany sold nerchandise with a retail value of $4,800 and a coll of $3,5 to to thiu Corporation, Involce dated Januacy 13. January 15 Thin cocpany paid $690 canh for freight charges on the merchandise purchased on January 7. Jenuary 16 The company recelved 54,090 eanh froa Delta Coopany for conputer hervices provided. January 17 The company paid Kanan corporation tor the involce dated January 7 , net of the discount. Jemury 20 The coopany gave a price reduction (allovance) of $500 to tiu corporation and ereditad tilut? accounts recetvable for that anount, Jenuary 22. The eoppany received the balance due fron tilu corporation, net of the diecount and the allovance. Jenuary it the oompany returned defective mentehandine to Kansain Corporation and accepted a credit againat future purchases (debited accountin payable). The defective nerehandive involce eost, net of the disemine. van 1496 . January 22 The conpany received the balance due from Lilu Corporation, net of the dincount and the allowance. January 24 The conpany returned defective merchandise to Kansas Corporation and aceepted a eredit againat future purchasen (debited accounts payable). The defective nerchandise invofee cast, net of the diseount, uas $496. Janunry 26 The company purchased 510,000 of merchandise from Kantas corporation with teras of 1/10, fi. 30 , ros dentination, Involce dated January 26 . January 26 The company nold therchandine with a $4,570 cost for $5,890 on ereditt to kC, Incorporated, Invoice dated January 26 . January 31 The company paid canh to tyn Addie for 10 dayst work at $125 per day. February 1 The company paid $2,565 canh to Millside Mal1 for another three monthas reat in advance. Fobruary 3 The company paid Kansas Corporation for the balance due, net of the eash dilseount, lese the $496 credit from merchanditee returned on January 24. Vebraary 5 The conpany pajd 3460 cash to. Facebook for an advertisenent to appear on February 5 only, Februaty 11 The cortpnny received the balance due from Alex's fngineering conpany for fees bliled on January February 155. Hey withdrew 34,710canh from the company for peranal use. Pebruhry 23 The conpany nold nerehandine vith a $2,600 eost for $3,330 on eredit to Delta Company, inyoce dated rebroary 23. February 26 the conpany paid eash to tyn Addie for eight days' work at 3125 per day. Tebruary 27 The cotpany reinhwarked 5antasa hey 3288 cash for boainens automobile mileage. The conpany recorded the reisburienent an "Mileage Rxpenee." Mareh il The company parchased 52,010 of compater nupplies from ilarrla office Droduetis on oredit Mith termis of n/30, roa destination, involen dated Mareh B. Mateh 9 The company recelved the balance due from Delta Conpany for merchandise sold on Fobruaty 23. March 11 The conpany paid 5660 eash tor minor repairn to the conpany'g computer. Match 16 the conpany recelved 55,350 cash from Dreas, Tncorporated, for comput.ing llervicen provided. March 19 the eoepany paid the tull amount due of 54,070 , co Harris offlce Products, consiating of amounta created on Decenber 15 (of 51,260) and March 8 . Meroh 24 The oompany billed Easy Leaning for 59,067 of computing nervicen provided. Morch 25 The coepany sold merehandise with a 32,012 cost tor 32,940 on eredit to Mildcat services, involce dated March 25 . March 30 The company sold merehandise Mith a 51,138 cost for 52,410 an oredit to trM Company, involee dated Mareh 30 . Karch 31 The cospany reimbureed Santana fey $12. cash for business automobile zi leage. The conpany recorded the reimbureement as "Mileage fixpense." The following additional facts are available for preparing adjustments on March 3 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 $2,135, b. Prepaid Insurance coverage of $627 expired during this three-month period. c. Lyn Addie has not been paid for seven days of work at the rate of $125 per day. d. Prepaid rent of $2,565 expired during this three-month period. e. Depreciation on the computer equipment for January 1 through March 31 is $1,230. 1. Depreciation on the office equipment for January 1 through March 31 is $390. 9. The March 31 amount of merchandise inventory still available totals $674. Santana Rey created Business Solutions on October 1, 2021. 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 bccount and any balance as of December 31, 2021. 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: 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. January \& the conpany paid eanh to Lyn Madie for five days" work at the rate of $125 per day. Four of the five dayn relate to vagen payable that were acerued in the prior yeak. Jenuary 3 santann Hey invented an additional $24,600 cash in the coepany. Jnnuary 7 the conpany purehaned $6,800 of merehandise fron Kansas Corporation with terme of 1/10, n/30, rob thipping point, invoice dated January 7. Janianzy 11 The company conpleted a five-day project for Alex'n Fngineering Conpany and bliled it 55 ; 400 , which in the total price of 56,900 lens the advance payment of 51,500 . The company debited Unearned Conputer Servicen Revense for $1,500. January 13 The coopany sold nerchandise with a retail value of $4,800 and a coll of $3,5 to to thiu Corporation, Involce dated Januacy 13. January 15 Thin cocpany paid $690 canh for freight charges on the merchandise purchased on January 7. Jenuary 16 The company recelved 54,090 eanh froa Delta Coopany for conputer hervices provided. January 17 The company paid Kanan corporation tor the involce dated January 7 , net of the discount. Jemury 20 The coopany gave a price reduction (allovance) of $500 to tiu corporation and ereditad tilut? accounts recetvable for that anount, Jenuary 22. The eoppany received the balance due fron tilu corporation, net of the diecount and the allovance. Jenuary it the oompany returned defective mentehandine to Kansain Corporation and accepted a credit againat future purchases (debited accountin payable). The defective nerehandive involce eost, net of the disemine. van 1496 . January 22 The conpany received the balance due from Lilu Corporation, net of the dincount and the allowance. January 24 The conpany returned defective merchandise to Kansas Corporation and aceepted a eredit againat future purchasen (debited accounts payable). The defective nerchandise invofee cast, net of the diseount, uas $496. Janunry 26 The company purchased 510,000 of merchandise from Kantas corporation with teras of 1/10, fi. 30 , ros dentination, Involce dated January 26 . January 26 The company nold therchandine with a $4,570 cost for $5,890 on ereditt to kC, Incorporated, Invoice dated January 26 . January 31 The company paid canh to tyn Addie for 10 dayst work at $125 per day. February 1 The company paid $2,565 canh to Millside Mal1 for another three monthas reat in advance. Fobruary 3 The company paid Kansas Corporation for the balance due, net of the eash dilseount, lese the $496 credit from merchanditee returned on January 24. Vebraary 5 The conpany pajd 3460 cash to. Facebook for an advertisenent to appear on February 5 only, Februaty 11 The cortpnny received the balance due from Alex's fngineering conpany for fees bliled on January February 155. Hey withdrew 34,710canh from the company for peranal use. Pebruhry 23 The conpany nold nerehandine vith a $2,600 eost for $3,330 on eredit to Delta Company, inyoce dated rebroary 23. February 26 the conpany paid eash to tyn Addie for eight days' work at 3125 per day. Tebruary 27 The cotpany reinhwarked 5antasa hey 3288 cash for boainens automobile mileage. The conpany recorded the reisburienent an "Mileage Rxpenee." Mareh il The company parchased 52,010 of compater nupplies from ilarrla office Droduetis on oredit Mith termis of n/30, roa destination, involen dated Mareh B. Mateh 9 The company recelved the balance due from Delta Conpany for merchandise sold on Fobruaty 23. March 11 The conpany paid 5660 eash tor minor repairn to the conpany'g computer. Match 16 the conpany recelved 55,350 cash from Dreas, Tncorporated, for comput.ing llervicen provided. March 19 the eoepany paid the tull amount due of 54,070 , co Harris offlce Products, consiating of amounta created on Decenber 15 (of 51,260) and March 8 . Meroh 24 The oompany billed Easy Leaning for 59,067 of computing nervicen provided. Morch 25 The coepany sold merehandise with a 32,012 cost tor 32,940 on eredit to Mildcat services, involce dated March 25 . March 30 The company sold merehandise Mith a 51,138 cost for 52,410 an oredit to trM Company, involee dated Mareh 30 . Karch 31 The cospany reimbureed Santana fey $12. cash for business automobile zi leage. The conpany recorded the reimbureement as "Mileage fixpense." The following additional facts are available for preparing adjustments on March 3 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 $2,135, b. Prepaid Insurance coverage of $627 expired during this three-month period. c. Lyn Addie has not been paid for seven days of work at the rate of $125 per day. d. Prepaid rent of $2,565 expired during this three-month period. e. Depreciation on the computer equipment for January 1 through March 31 is $1,230. 1. Depreciation on the office equipment for January 1 through March 31 is $390. 9. The March 31 amount of merchandise inventory still available totals $674