June 19 Paid for the merchandise received on June 11, less the discount.
23 Paid for the merchandise received on June 15, less the discount.
29 Discovered that the invoice received on June 2 had been refiled in error, after the credit memorandum was attached, for payment on this the last day of its credit period, causing the discount to be lost. Paid the invoice.
\section*{Required}
1. Assume the concern records invoices at gross amounts.

(a) Prepare general journal entries to record the transactions.

(b) Prepare a June income statement for the concern.
2. Assume the concern records invoices at net amounts.

(a) Prepare general journal entries to record the transactions.

(b) Prepare a second income statement for the concern under this assumption.The June 30 credit balance in the Sales account of Crewes Sales showed it had (L.O. 5) sold \(\$ 325,000\) of merchandise during the month. The concern began June with a \(\$ 275,000\) merchandise inventory and ended the month with a \(\$ 217,000\) inventory. It had incurred \(\$ 105,000\) of operating expenses during the month, and it had also recorded the following transactions:
June 2 Received merchandise purchased at a \(\$ 36,000\) invoice price, invoice dated May 30, terms \(2 / 10, \mathrm{n} / 30\).
8 Received a \(\$ 6,000\) credit memorandum (invoice price) for merchandise received on June 2 and returned for credit.
11 Received merchandise purchased at a \(\$ 54,000\) invoice price, invoice dated June 9 , terms \(2 / 10, \mathrm{n} / 30\).
15 Received merchandise purchased at a \(\$ 63,750\) invoice price, invoice dated June 13, terms \(2 / 10, \mathrm{n} / 30\).