Record the following selected transactions for january in a two‐column journal. once you have completed that, answer questions 1 – 5 related to your work.
(a) earned $7,000 fees; customer will pay later.
(b) purchased equipment for $45,000, paying $20,000 in cash and the remainder on credit
(c) paid $3,000 for rent for january.
(d) purchased $2,500 of supplies on account.
(e) a. allen $1,000 investment in the company.
(f) received $7,000 in cash for fees earned previously.
(g) paid $1,200 to creditors on account.
(h) paid wages of $6,250.
(i) received $7,150 from customers on account.
(j) a. allen withdrawal of $1,750.
1.for part (e), which two accounts are affected?
a. cash and fees earned
b. cash and prepaid insurance
c. cash and allen, capital
d. cash and accounts receivable
2. for part (h), which two accounts are affected?
a. fees earned and cash
b. wages expense and cash
c. accounts payable and cash
d. rent expense and cash
3. for part (a), which two accounts are affected?
a. accounts receivable and fees earned
b. supplies and accounts payable
c. cash and accounts receivable
d. rent expense and cash
4. for part (j), which accounts are affected?
a. supplies, allen, capital and cash
b. accounts receivable and cash
c. cash and accounts receivable
d. allen, withdrawal and cash
5. for part (b), what is the cash balance?
a.$45,000
b.$20,000
c.$25,000
d.$10,000

howard, fine, & howard is an advertising agency. the firm uses an activity-based costing system to allocate overhead costs to its services. information about the firm's activity cost pool rates follows: stooge company was a client of howard, fine, & howard. recently, 7 administrative assistant hours, 3 new ad campaigns, and 8 meeting hours were incurred for the stooge company account. using the activity-based costing system, how much overhead cost would be allocated to the stooge company account?

When used-car dealers signal the quality of a used car with a warranty, a. buyers believe the signal because the cost of a false signal is high b. it is not rational to believe the signal because some used-car dealers are crooked c. the demand for lemons is eliminated d. the price of a lemon rises above the price of a good used car because warranty costs on lemons are greater than warranty costs on good used cars

Alpha company uses the periodic inventory system for purchase & sales of merchandise. discount terms for both purchases & sales are, 2/10, n30 and the gross method is used. unless otherwise noted, fob destination will apply to all purchases & sales. the value of inventory is based on periodic system. on january 1, 2016, beginning inventory consisted of 350 units of widgets costing $10 each. alpha prepares monthly income statements. the following events occurred during the month of jan.: dateactivitya.jan. 3purchased on account 350 widgets for $11 each.b.jan. 5sold on account 400 widgets for $30 each. paid freight out with petty cash of $150.c.jan. 10purchased on account 625 widgets for $12 each.d.jan. 11shipping cost for the january 10 purchased merchandise was $400 was paid with a cheque by alpha directly to the freight company.e.jan. 12returned 50 widgets received from jan. 10 purchase as they were not the correct item ordered.f.jan. 13paid for the purchases made on jan. 3.g.jan. 21sold on account 550 widgets for $30 each. paid freight out with petty cash of $250.h.jan. 22authorize credit without return of goods for 50 widgets sold on jan. 21 when customer advised that they were received in defective condition.i.jan. 25received payment for the sale made on jan. 5.j.jan. 26paid for the purchases made on jan. 10.k.jan. 31received payment for the sale made on jan. 21.use this information to prepare the general journal entries (without explanation) for the january events. if no entry is required then enter the date and write "no entry required."