At the beginning of July, CD City has a balance in inventory of $2,450. The following transactions occur during the month of July. July 3 purchase cbs on account from Wholesale Music for $1,350, terms 2/10,n/30. July 4 Pay cash for frelght charges related to the July 3 purohase from Wholesale Music, $110. July 9 Return incorrectly ordered CD to Wholesale Masic and receive credit, $200. July 11 Pay Kholesale Munie in full. July 12 Sell con to customers on account, $3,900, that had a cost of $2,050. July is kecelve full payment troe oustomers velated to the sale on July 12. July 18 Purchase CDs on account from Music supply for $2,150, terma 2/10, n/30, July 22 sel2 cDa to customers for cash, $3,250, that had a cont of 51,550 . July 28 Return CDs to Kusie supply and receive eredit of $110. July 30 pay Music supply in full. Required: 1. Assuming that CD City uses a perpetual inventory system, record the transactions. 2. Prepare the top section of the multiple-step income statement through gross profit for the month of July. 11 Record return of CDs to Music Supply and receive credit of $110. 12 Record payment to Music Supply in full. Record purchase of CDs on account from Wholesale Music for $1,350, terms 2/10,n/30. 2 Record payment of cash for freight charges related to the July 3 purchase from Wholesale Music, $110. 3 Record return of incorrectly ordered CDs to Wholesale Music and receive credit, $200. 4 Record payment to Wholesale Music in full. 5 Sell CDs to customers on account, $3,900, that had a cost of $2,050. Record the sale of inventory on account. 6 Sell CDs to customers on account, $3,900, that had a cost of $2,050. Record the cost of inventory sold. 7 Record receipt of full payment from customers related to the sale on July 12 . 8 Record purchase of CDs on account from Music Supply for $2,150, terms 2/10,n/30. 9 Sell CDs to customers for cash, $3,250, that had a cost of $1,550. Record the sale of inventory for cash. 10 Sell CDs to customers for cash, $3,250, that had a cost of $1,550. Record the cost of inventory sold