Exercise 4-3 Recording purchases, purchases returns, and purchases allowances LO P1 Prepare journal entries to record the following transactions for a retall store. The company uses a perpetual inventory system and the gross method Apt. 2 PUrchased $4,600 of merchandise trom Lyon Company with credit terms of 2/15, n/60, invoice dated April 2, and FOB shipping point. 3 Paid $300 cash for shipping charges on the April 2 purchase. Returned to Lyon Company unacceptable merchandise that had an invoice price of $600. 17 Sent a check to Lyon Company for the April 2 parchase, net of the discount and the returned merchandise. 18 Purchased $8,500 of merchandise from Frist Corp. with eredit terme of 1/10, n/3o, invoice dated Aprii 18, and FOB destination. 21 After negotiations, received from Frist a 500 allowance toward the 58,5oo owed on the April 18 purchase. 28 Sent check to Frist paying for the April 18 purchase, net of the allowance and the discount