1 On March 1, 2022, Company "Z" had 1800 merchandise inventories at a cost of $59.90 each. The company uses periodic inventory system and has completed the following merchandising transactions during the month: March. 3 9 Purchased 5000 merchandise at $61.90 each from Company "X", terms 3/10. n/60, FOB shipping point, appropriate party also paid $2000 freight charges on that day. Returned 200 merchandise due to damage during shipment to Company "X", Company "X" approved credit for the damage. 12 Paid Company "X" in full. 17 21 30 Sold 5000 merchandise on account to Company "Y" for $99.90 each, terms 2/10, n/60, FOB destination, appropriate party also paid $1500 for freight charges. Purchased 2000 merchandises at $63.90 each from Company "L", terms 1/10, n/30, FOB destination, appropriate party also paid for $1000 freight charges on that day. Received payment from Company "Y" in full. Merchandise inventory on March 31st is worth of $222,840. Page | 1 Instructions: i. Prepare the journal entries to record these transactions on the books of Company "Z" using periodic inventory system. [6] ii. Prepare the cost of goods sold section for the month ended 31st March 2022 for Company "Z". [4]