The following supplementary records summarize Tesla Company?s merchandising activities for year 2018 (it uses a perpetual inventory system). Set up T-accounts for Merchandise Inventory and Cost of Goods Sold. Then record the summarized activities in those T-accounts and compute account balances.

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Cost of merchandise sold to customers in sales transactions Merchandise inventory, December 31, 2017.... Invoice cost of merchandise purchases, gross amount. Shrinkage determined on December 31, 2018 . Cost of transportation-in .... Cost of merchandise returned by customers and restored to inventory. Purchases discounts received.... Purchases returns and allowances $196,000 25,000 192,500 800 2,900 2,100 1,700 4,000