Assume the following transactions occurred between Heights Pharmacy and Procter 6v Gamble (PcvG), the consumer products company, during August of the current year.

Requirements 

Journalize these transactions, first on the books of Heights Pharmacy and second on the hooks of Procter on Gamble.

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Aug. 8 Heights Pharmacy purchased $3,000 of merchandise from P&G on credit terms of 2/10, n/30, FOB shipping point. Separately, Heights paid a $100 bill for freight in. These goods cost P&G $900). 11 Heights returned $1,000 of the merchandise purchased on August 8. P&G accounted for the sales return and placed the goods back in inventory (P&G's cost, $400). 17 Heights paid $1,500 of the invoice amount owed to P&G for the August 8 purchase, less the discount. This payment included none of the freight charge. 26 Heights paid the remaining amount owed to P&G for the August 8 purchase.