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?

question 1 options:

cash and fees earned

cash and prepaid insurance

cash and allen, capital

cash and accounts receivable