Exercise 6-7 (Algo) Record inventory purchase and purchase return using a perpetual system (LO6-5)

On June 5, Staley Electronics purchases 110 units of inventory on account for $11 each. After closer examination, Staley determines 20 units are defective and returns them to its supplier for full credit on June 9. All remaining inventory is sold on account on June 16 for $17 each.

Required:

Record transactions for (a) the purchase of inventory on account, (b) the return of defective inventory, and (c) the sale of inventory on account using a perpetual system. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.)