Serial Problem Business Solutions LO A1, P1, P2 On October 1, 2019, Santana Rey launched a computer services company called Business Solutions, which provides consulting services, computer system installations, and custom program development. Rey adopts the calendar year for reporting purposes and expects to prepare the company's first set of financial statements on December 31, 2019. The company's initial chart of accounts follows. Cash Account Accounts Receivable No. 101 Common Stock Account No. 307 106 Dividends 319 Computer Supplies 126 Computer Services Revenue 403 Prepaid Insurance Prepaid Rent Office Equipment Computer Equipment Accounts Payable 128 Wages Expense 623 131 Advertising Expense 655 163 Mileage Expense 676 167 Miscellaneous Expenses 201 Repairs Expense-Computer 677 684 Oct. Nov. 1 S. Rey invested $45,000 cash, a $20,000 computer system, and $8,000 of office equipment in the company in exchange for common stock. 2 The company paid $3,280 cash for four months' rent. Hint: Debit Prepaid Rent for $3,280. 3 The company purchased $1,360 of computer supplies on credit from Harris Office Products. 5 The company paid $2,040 cash for one year's premium on a property and liability insurance policy. Hint: Debit Prepaid Insurance for $2,040. 6 The company billed Easy Leasing $5,500 for services performed in installing a new Web server. 8 The company paid $1,360 cash for the computer supplies purchased from Harris Office Products on October 3. 10 The company hired Lyn Addie as a part-time assistant. 12 The company billed Easy Leasing another $1,500 for services performed. 15 The company received $5,500 cash from Easy Leasing as partial payment on its account. 17 The company paid $765 cash to repair computer equipment that was damaged when moving it. 20 The company paid $1,708 cash for advertisements published in the local newspaper. 22 The company received $1,500 cash from Easy Leasing on its account. 28 The company billed IFM Company $5,908 for services performed. 31 The company paid $805 cash for Lyn Addie's wages for seven days' work. 31 The company paid a $2,900 cash dividend. 1 The company reimbursed S. Rey in cash for business automobile mileage allowance (Rey logged 1,000 miles at $0.23 per mile). 2 The company received $4,733 cash from Liu Corporation for computer services performed. 5 The company purchased computer supplies for $1,045 cash from Harris Office Products. 8 The company billed Gomez Co. $6,368 for services performed.