Appendix 1: Gross method for sales discounts The following were selected from among the transactions completed by Essex Company during March of the current year: Mar. 2. Sold merchandise on account to Parsley Co., $32,000, terms 1/10, n/30. The cost of the merchandise sold was $18,500. 8. Sold merchandise on account to Tabor Co., $24,000, terms 2/10, n/30. The cost of the merchandise sold was $14,400. 11. Received payment on account for the sale of March 2 less the discount. 20. Received payment on account for the sale of March 8. Journalize the March transactions using the gross method of recording sales discounts. If an amount box does not require an entry, leave it blank. Mar. 2 Accounts Receivable-Parsley Co. Sales 2 Cost of Goods Sold Inventory 8 Accounts Receivable-Tabor Co. Sales - II III II II II 001 8 Cost of Goods Sold II II II II III II Inventory 11 Cash Sales Accounts Receivable-Parsley Co. 20 Cash Accounts Receivable-Tabor Co