Record merchandising transactions: perpetual inventory system. (LO 1, 2)

Assume the following transactions for Clark's Appliances Inc. took place during May. Clark's Appliances uses a perpetual inventory system. Enter each of the transactions into the accounting equation.

May 2 Purchased refrigerators on account at a total cost of \(\$ 500,000\); terms \(1 / 10, \mathrm{n} / 30\)

May 9 Paid freight of \(\$ 800\) on refrigerators purchased from GE May 16 Returned refrigerators to GE because they were damaged; received a credit of \(\$ 5,000\) from GE May 22 Sold refrigerators costing \(\$ 100,000\) for \(\$ 180,000\) to Pizzeria Number 1 on account, terms \(\mathrm{n} / 30\)

May 24 Gave a credit of \(\$ 3,000\) to Pizzeria Number 1 for the return of a refrigerator not ordered; Clark's cost was \(\$ 1,200\)