Brief Exercise 13-1 Sunland Corporation uses a periodic inventory system and the gross method of accounting for purchase discounts. (a) On July 1, (1) Sunland purchased $80,000 of inventory, terms 1/10, n/30, FOB shipping point. (2) Sunland paid freight costs of $1,207. (b) On July 3, Sunland returned damaged goods and received credit of $8,000. (c) On July 10, Sunland paid for the goods. Prepare all necessary journal entries for Sunland. (If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually.) No. Date Account Titles and Explanation Debit Credit