Aug 1 Purchased merchandise from Aron Company for $5,000 under credit terms of 1/10, n/30, FOB destination, invoice dated August 1.1 Sold merchandise to Baird Corp. for $3,500 under credit terms of 2/10, n/60, FOB destination, invoice dated August 5. The merchandise had cost $2,000. & Purchased merchandise from Waters Corporation for $4,000 under credit terms of 1/10, n/45, FOB shipping point, invoice dated August 8. I 9 Paid $110 cash for shipping charges related to the August 5 sale to Baird Corp. 10 Baird returned merchandise from the August 5 sale that had cost Lucky's $500 and was sold for $1,000. The merchandise was restored to inventory. 12 After negotiations with Waters Corporation concerning problems with the purchases on August 8, Lucky's received a price reduction from Waters of $400 off the $4,000 of goods purchased. Lucky's debited accounts payable for $400. 14 At Aron's request, Lucky's paid $320 cash for freight charges on the August 1 purchase, reducing the amount owed (accounts payable) to Aron. 15 Received-balance due from Baird Corp. for the August 5-sale-less the return on August 10.1 18 Paid the amount due Waters Corporation for the August 8 purchase less the price allowance from August-12. 19 Sold merchandise to Tux Co. for $3,000 under credit terms of n/10, FOB shipping point, invoice dated a August 19. The merchandise had cost $1,500.1 22 Tux requested a price reduction on the August 19 sale because the merchandise did not meet specifications. Lucky's gave a price reduction (allowance) of $500 to Tux and credited Tux's accounts receivable for that amount.