Bridgeport Warehouse distributes suitcases to retail stores and extends credit terms of n/30 to all of its customers. Bridgeport Warehouse uses a perpetual inventory system the earnings approach. At the end of June its inventory consisted of 30 suitcases purchased at $30 each. During the month of July, the following merchandising transactions occurred: July 1 2 4. 10 12 15 Purchased 50 suitcases on account for $30 each from Trunk Manufacturers, terms n/30, FOB destination. The correct company paid $125 freight on the July 1 purchase. Received $150 credit for five suitcases returned to Trunk Manufacturers because they were damaged. Sold 45 suitcases that cost $30 each to Satchel World for $70 each on account. Issued a $350 credit for five suitcases returned by Satchel World because they were the wrong colour. The suitcases were returned to inventory. Purchased 60 additional suitcases from Trunk Manufacturers for $27.50 each, terms n/30, FOB shipping point. Paid $150 freight to AA Trucking Company for merchandise purchased from Trunk Manufacturers. Sold 57 suitcases that cost $30 each to Fly-By-Night for $70 each on account. Gave Fly-By-Night a $140 credit for two returned suitcases. The suitcases had been damaged and were sent to the recyclers. Paid Trunk Manufacturers for the July 1 purchase. Received balance owing from Satchel World. 18 21 23 30 31