Journalize the following transactions. Assume the perpetual inventory system.
201X
Jan. 4 Sold merchandise for $750 cash. The cost of merchandise was $200.
9 Purchased merchandise from Rare Co., $2,700, free on board shipping (buyer pays freight); terms 1/10, n/30. Freight to be paid on January 20.
20 Paid freight on January 9 purchase, $70.