ANSWER FORMAT BELOW:

Alpha Company uses the periodic inventory system for purchase & sales of merchandise. Discount terms for both purchases&sales are, 2/10, n30 and the gross method is used Unless otherwise noted, FOB Destination will apply to all purchases & sales. The value of inventory is based on periodic system. On January 1, 2016, beginning inventory consisted of 325 units of widgets costing $10 each. Alpha prepares monthly income statements. The following events occurred during the month of Jan. Date Activity a. Jan. 3 Purchased on account 350 widgets for $11 each. b. Jan.5 c. Jan. 10 Purchased on account 600 widgets for $12 each. Sold on account 425 widgets for $30 each. Paid freight out with cash of $150. Shipping cost for the January 10 purchased merchandise the freight company. Returned 25 widgets received from Jan. 10 purchase as d. Jan. 11was $400 was paid with a cheque by Alpha directly to e. Jan. 12 Jan. 12