The following information applies to the questions displayed below] Sentene Rey created Business Solutions on October 1, 2020. 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 eccount and any balance as of December 31, 2020. Santane 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 Te 101 Cash 106.1 Alex's Engineering Co. 106.2 Wildcat Services 106.3 Easy Leasing 106.4 PM Co 106.5 Lu Comp 106.6 Gomez Co 1067 Delta Co. 106.8 KC, Inc. 106.9 119 126 128 Dream, Inc. Marchandise inventory Computer supples Prepeld insurance 131 Prepaid rent 163 Office equipment 164 167 Computer equipment 160 Accumulated depreciation-office equipment Accumulated depreciation-Computer equipment 201 Accounts payable 210 Wages payable 236 Unearned computer services revenue 307 Common stock 318 Retained eamings 319 Dividends 403 Computer services revenue 413 Sales 434 415 Sales retums and allowances Sales discounts 500 Cost of goods sold 612 613 623 637 640 Rent expense 652 655 Depreciation expense-Office equipment Depreciation expense-Computer equipment Wages expense Insurance expense Computer supples expense Advertising expense 670 Mege expense 677 Miscellaneous expenses 684 Repairs expense-Computer Debit $48,572 Cod 0 0 3300 2,888 0 0 600 1,881 885 8,050 $ 300 20,600 1220 1,240 860 1390 73346 8,360 0 00 0 0 In response to requests from customers, S. Rey will begin selling computer software. The company will extend credit terms of 110, 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 ectivities. Its transactions for January through March follow. Jan The company paid cash to Lyn Addle for ve days' work at the rate of $215 per day. Four of the five days relate to wages payable that were accrued in the prior year. 5 Santana Rey invested an additonal $24,500 cash in the company in exchange for more common stock 7 The company purchased $6,300 of merchandise from Kansas Corp, with terms of V10, 30, FOB shipping point, invoice dated January 7. The company received $2.808 cash from Gomez Co. as full payment on its account The company completed a five-day project for Alex's Engineering Co, and billed it $5,330, which is the total price of $6.720 less the advance payment of $1.390. The company debited Uneamed Computer Services Revenue for $1.390. 13 The company sold merchandise with a retail value of $4,600 and a cost of $3.500 to Liu Corp. Invoice dated January 13. 15 The company paid $610 cash for freight charges on the merchandise purchased on January 7. The company received $4,150 cash from Delts 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 Lau Corp, and credited Liu's accounts receivable for that amount 22 The company received the balance due from Lu 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 $9,400 of merchandise from Kansas Corp with terms of 110, n/30, FOB destination, Invoice dated January 26 26 The company sold merchandise with a $4.630 cost for $5.890 on credit to KC, Inc., Invoice dated January 26 31 The company paid cash to Lyn Addle for 10 days' work at $215 per day Feb. 1 The company peld $2,655 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 $485 credit from merchandise returned on January 24 5 The company paid $410 cash to Facebook for an advertisement to appear on February only. The company received the balance due from Alex's Engineering Co. for fees billed on January 11 15 The company paid a $4,700 cash dividend. 23 The compeny sold merchandise with a $2,600 cost for $3,400 on credit to Deha Co, Invoice dated February 23. 26 The compeny paid cash to Lyn Addie for eight days' work at $215 per day. 27 The company reimbursed Santana Rey $320 cash for business automobile mileage. The company recorded the reimbursement as "Mileage Expense." Mar. 8 The company purchased $2.920 of computer supplies from Hamis Office Products on credit with terms of n/30, FOB destination, Invoice dated March & 9 The company received the balance due from Delta Co. for merchandise sold on February 23. 11 The company paid $870 cash for minor repairs to the company's computer. 16 The company received $5,380 cash from Dream, Inc, for computing services provided.