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a Ivanhoe Stores is a new.company that started operations on March 1, 2021. The company has decided to use a perpetual inventory system. The following

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a Ivanhoe Stores is a new.company that started operations on March 1, 2021. The company has decided to use a perpetual inventory system. The following purchase transactions occurred in March: Mar. 1 2 3 Ivanhoe Stores purchases $8,600 of merchandise for resale from Octagon Wholesalers, terms 2/10./30, FOB shipping point. The correct company pays $ 155 for the shipping charges. Ivanhoe returns $ 1.200 of the merchandise purchased on March 1 because it was the wrong colour. Octagon gives Ivanhoe a $ 1.200 credit on its account tvanhoe Stores purchases an additional $ 12,000 of merchandise for resale from Octagon Wholesalers, terms 2/10.5630, FOB destination The correct company pays $175 for freight charges. Ivanhoe returns $ 350 of the merchandise purchased on March 21. because it was damaged, Octagon gives Ivanhoe a $ 350 credit on its account. 21 22 23 30 Ivanhoe paid Octagon the amount owing for the merchandise purchased on March 1: Ivanhoe paid Octagon the amount owing for the merchandise purchased on March 21 31 Prepare Ivanhoe Stores' journal entries to record the above transactions. (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 O 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 cash payment of freight.) Post the transactions to the Merchandise Inventory account. Compare the total in this account with the total of the cash paid during March by Ivanhoe for the purchase of inventory. (Note: Assume there were no sales of inventory in March.)(Post entries in the order of journal entries presented in the previous part) Merchandise Inventory

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