Exercise 4-7 Recording sales, purchases, shipping, and returns-buyer and seller LO P1, P2 Sydney Retailing (buyer) and Troy Wholesalers (sellet) enter into the following transactions. May 11 Sydney accepts delivery of $35,500 of merchandise it purchases for resale from Troy: invoice dated May 11, terns 3/10, 1/90, FOB shipping point. The goods cost Troy $23,785. Sydney pays $330 cash to Express Shipping for delivery charges on the merchandise 12 Sydney returns $1,300 of the 535,500 of goods to Troy, who receives then the same day and restores them to its inventory The returned goods had cost Troy $871 20 Sydney pays Troy for the amount owed. Troy receives the cash immediately, (Both Sydney and Troy use a perpetual Inventory system and the gross method) 1. Prepare journal entries that Sydney Retailing (buyer) records for these three transactions 2. Prepare journal entries that Troy Wholesalers (seller) records for these three transactions. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare journal entries that Troy Wholesalers (seller) records for these three transactions Journal entry worksheet Record the sales return. Note: Enter debits before credits Date General Journal Debit Credit May 12 Record entry Clear entry View general journal View transaction list Journal entry worksheet Record the cost of sales return. Note: Enter debits before credits General Journal Debit Credit Date May 12 Record entry Clear entry View general journal 3 & O Journal entry worksheet 1 2 3 co Record the cash collected for credit sales. Note: Enter debits before credits General Journal Debit Credit Date May 20 Record entry Clear entry View general journal