E5.4 Cash ASSETS Record journal entries for each of the three transactions below. Be sure to record both sale and inventory reduction as appropriate. If it helps, think about the grid. BEG. 500,000 1. 12/3 2. 12/8 3. 12/13 Accounts Receivable Inventory 330,000 = = LIABILITIES 11 Accounts Payable + Common Stock + 830,000 1. On December 3, Alonzo Company sold $500,000 of merchandise to Arte Co., on account, terms 1/10, n/30. The cost of the merchandise sold was $330,000. 2. On December 8, Arte Co. was granted an allowance of $25,000 for merchandise purchased on December 3. 3. On December 13, Alonzo Company received the balance due from Arte Co. + + Sales Revenue Sales Discounts EQUITY Sales Returns and Allowances Cost of Goods Sold Expenses NOT REQUIRED