a) Star uses a perpetual inventory system. On day 1, it purchased merchandise inventory on account from Flowers for $40,000 terms 1/10, n/30.On day 4, Star received credit from Flowers for $2,000 of merchandise that Star returned.On day 7, Star paid Flowers the amount owing, net of any returns and discount.Show calculations. Date Debit account Credit account Debit $ Credit $a) day 1 a) day 4 a) day 7 b) On day 8 Star had credit sales of $30,000. Star uses a perpetual inventory system and cost of goods sold was $18,000 (60% of sales). Estimated sales returns are 5% of sales. On day 12, Star recorded the necessary entries for a sales return of $500 related to the initial credit sale of $30,000 above. Items costing $300 were accepted by Star with the return. Date Debit account Credit account Debit $ Credit $b) day 8 b) day 12

Question 1 (40 points) By submitting an answer to this test, you are certifying that you will complete this test independently without the aid of any unauthorized materials/devices and will not share your test with others. Your answer must be submitted through the quiz feature on Brightspace. Emailed submissions or late submissions will not be graded. You are to record journal entries for Star Ltd. (Star) for transactions a and b that follow in the grid below. Star uses IFRS. Debits must come before and be on a separate line from credits. There are extra rows in the grid. You are not required to provide explanations, but you should show calculations. Round amounts in entries to the nearest dollar. You can click on the grid to make the grid larger on your screen. Paragraph BIUA Ev Ev Poll + . . . Lato (Recomm. 19 px (.. V O a) Star uses a perpetual inventory system. On day 1, it purchased merchandise inventory on account from Flowers for $40,000 terms 1/10, n/30. On day 4, Star received credit from Flowers for