Dr. Perpetual System Recording Purchases, Returns, and Sales Track Bicycles Inc. maintains a perpetual inventory system and began 2020 with $56,000 of merchandise inventory. During January 2020, the company purchased inventory of $140,000 on account, returned $3,500 of defective goods, and sold inventory with a cost of $154,000 for $252,000 on account. Prepare the journal entries for the month of January for Track Bicycles Inc. for the following inventory transactions: (a) Inventory purchases, (b) Inventory returns, and (0) Inventory sales. Account Name Cr. a. Inventory Accounts Payable b. Accounts Payable Inventory c Accounts Receivable Sales Revenue To record the sale of inventory Cost of Goods Sold Inventory To record the cost of sale of inventory 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0