A retailer uses a perpetual inventory system. During the month of May, the following transactions occurred.

The retailer purchased $9,000 of merchandise from a supplier on May 5. The terms of sale were 1/10 net 30, FOB shipping point.

The correct party paid $350 of freight costs on May 7 to the shipping company for delivery of the May 5 purchase.

On May 8, the retailer sold merchandise to a customer on terms of 1/10 net 30 days, FOB shipping point. The selling price was $3,600 and cost of the inventory sold was 1,800.

The retailer returned $600 of inventory to its supplier on May 9. The inventory was purchased on May 5.

The correct party paid $210 of freight costs on May 11 to the shipping company for delivery of the May 8 sale.

On May 12, the May 8 customer returned $500 of the goods sold to the retailer. The cost of the inventory returned was $250. The stock was undamaged and returned to inventory.

On May 14, the retailer paid for its May 5 inventory purchase.

The retailer collected on May 16 from its May 8 customer.

REQUIRED - Prepare the retailers journal entries for the above transactions either by typing in the box below or writing on a sheet of paper, scanning the page as a PDF file (or typing in Word or Excel) and uploading your solution to Moodle.