(a) Your answer is partially correct. On July 1, Pembina Corp. sold merchandise on account to Cambridge Inc. for $52,400, terms n/30. The cost of the merchandise sold was $28,600. Pembina expected a return rate of 5%. (List all debit entries before credit entries. 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.) Date Account Titles and Explanation July 1 Accounts Receivable July 1 Sales Bad Debts Expense (To record credit sale) Cost of Goods Sold Sales Tax Recoverable Inventory (To record cost of merchandise sold) eTextbook and Media List of Accounts Save for Later Debit Credit 52400 27170 1430 49780 2620 28600 Attempts: unlimited Submit Answer