Chapter Four Practice A. On September 1, Rhea Office Supply had an inventory of 30 calculators at a cost of $20 each. The company uses a perpetual Inventory system. During September, the following transactions occurred. Sept. 6 Purchased 70 calculators at $22 each from Danny Co. for cash. 9 Paid freight of $70 on calculators purchased from Danny Co. 10 Returned two calculators to Danny Co. for $46 credit (including freight) because they did not meet specifications. 12 Sold 33 calculators (30 costing $20 and 3 costing $23) for $33 each to Great Big Book Store, terms 1/30. 14 Granted credit of $33 to Great Big Book Store for the retum of one calculator that was not ordered (the cost of the calculator was $23). 20 Sold 40 calculators costing $23 for $33 each to Bush's Card Shop, terms /30. Instructions: a) Joumalize the September transactions. b) What amount would Rhea report as net sales in the September Income statement? c) What amount would Rhea report as gross profit in the September income statement? B. Presented here are transactions related to Stealer's Company. 1. On December 3, Stealer's Company sold $400,000 of merchandise to Sharif Co., terms 2/10, n/30, FOB shipping point. The cost of the merchandise sold was $240,000. 2. On December 8, Sharif Co. returned inventory costing $19,000 for merchandise purchased on December 3. (Round sales to nearest dollar) 3. On December 13, Stealer's Company received the balance due from Sharif Co. Instructions: Prepare the journal entri to record these transactions on the books of Stealer's Company using a perpetual Inventory system