2 4 10 Marigold Warehouse distributes suitcases to retail stores and extends credit terms of r/30 to all of its customers. Marigold Warehouse uses a perpetual inventory system the earnings approach. At the end of June its inventory consisted of 25 suitcases purchased at $30 each. During the month of July, the following merchandising transactions occurred: July 1 Purchased 50 suitcases on account for $30 each from Trunk Manufacturers, terms 1/30, FOB destination. The correct company paid $130 freight on the July 1 purchase. Received $150 credit for five suitcases returned to Trunk Manufacturers because they were damaged. Sold 45 suitcases that cost $30 each to Satchel World for $80 each on account. Issued a $400 credit for five suitcases returned by Satchel World because they were the wrong colour. The suitcases were returned to inventory Purchased 60 additional suitcases from Trunk Manufacturers for $27.50 each, terms 1/30, FOB shipping point Paid $150 freight to AA Trucking Company for merchandise purchased from Trunk Manufacturers. Sold 54 suitcases that cost $30 each to Fly By Night for $80 each on account. Gave Fly-By Night a $160 credit for two returned suitcases. The suitcases had been damaged and were sent to the recyclers. Paid Trunk Manufacturers for the July 1 purchase. Received balance owing from Satchel World. 12 15 18 21 23 30 31 Record the transactions for the month of July for Marigold Warehouse. (Credit account titles are automatically indented when the amount is entered. Do not Indent manually. If no entry is required, select "No Entry" for the account titles and enter for the amounts. Record journal entries in the order presented in the problem.) Date Account Titles and Explanation Debit Credit (Purchase on account.) (To record credit for goods returned.) Create a T account for Merchandise Inventory. Post the opening balance and July's transactions, and calculate the July 31 balance (Post entries in the order of joumal entries presented in the previous part) Merchandise Inventory