Brief Exercise 5-4 Prepare the journal entries to record these transactions on Bernadina Companys books under a perpetual inventory system.

(a) On March 2, Horst Company sold $800,000 of merchandise to Bernadina Company, terms 2/10, n/30. The cost of the merchandise sold was $540,000. (b) On March 6, Bernadina Company returned $140,000 of the merchandise purchased on March 2. The cost of the merchandise returned was $94,000. (c) On March 12, Horst Company received the balance due from Bernadina Company.

Please use the format in the image below:

List of possible accounts:

Accounts Payable Accounts Receivable Accumulated Depreciation-Buildings Accumulated Depreciation-Equipment Administrative Expenses Advertising Expense Buildings Cash Common Stock Cost of Goods Sold Depreciation Expense Dividends Equipment Freight-in Freight-out Gain on Disposal of Plant Assets Income Tax Expense Income Taxes Payable Insurance Expense Interest Expense Interest Payable Inventory Land Loss on Disposal of Plant Assets Maintenance and Repairs Expense Mortgage Payable No Entry Notes Payable Other Expenses and Losses Other Revenues and Gains Prepaid Insurance Purchase Discounts Purchase Returns and Allowances Purchases Rent Expense Rent Revenue Retained Earnings Salaries and Wages Expense Salaries and Wages Payable Sales Discounts Sales Returns and Allowances Sales Revenue Selling Expenses Supplies Supplies Expense Utilities Expense

Brief Exercise 5-4 Prepare the journal entries to record these transactions on Bernadina Company's books under a perpetual inventory system. (Credit account titles are automatically indented when amount is entered. Do not indent manually. Record journal entries in the order presented in the problem.) inte onder perese teaamaticly indented (a) (b) (c) On March 2, Horst Company sold $800,000 of merchandise to Bernadina Company, terms 2/10, n/30. The cost of the merchandise sold was $540,000. On March 6, Bernadina Company returned $140,000 of the merchandise purchased on March 2. The cost of the merchandise returned was $94,000 On March 12, Horst Company received the balance due from Bernadina Company. Date Account Titles and Explanation Debit Credit