Exercise 5-05 a-b (Video) Presented below are transactions related to Carla Vista Company, . 1. On December 3, Carla Vista Company sold $618,600 of merchandise on account to Martinez Co., terms 2/10,n/30, FOB destination. Carla Vista paid $410 for freight charges. The cost of the merchandise sold was $367,900. 2. On December 8, Martinez Co. was granted an allowance of $28,200 for merchandise purchased on December 3. 3. On December 13, Carla Vista Company received the balance due from Martinez Co. Your answer is partially correct. Try again. Prepare the journal entries to record these transactions on the books of Carla Vista Company using a perpetual inventory system. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) No. Date Account Titles and Explanation Debit Credit 1. Dec. 3 Accounts Receivable 618600 Sales Revenue 618600 (To record credit sale) Dec. 3 v Cost of Goods Sold 3679001 Inventory 367900 (To record cost of merchandise sold) Dec. 8 Sales Returns and Allowances 28200 Accounts Receivable 28200 (To record freight charges) X Freight-In 2 Dec. 3 410 410 X 3. Dec. 13 cash Sales Discounts Inventory Your answer is partially correct. Try again. Assume that Carla vista company received the balance due from Martinez Co. on January 2 of the following year instead of December 13. Prepare the journal entry to record the receipt of payment on January 2. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Date Account Titles and Explanation Debit Credit Jan. 2 Cash Sales Discounts Click if you would like to show Work for this question: Open Show Work