Exercise 8-1 Perpetual inventory system; journal entries [LO8-1] Johns Specialty Store uses a perpetual inventory system. The following are some inventory transactions for the month of May 2018: Johns purchased merchandise on account for $5,200. Freight charges of $400 were paid in cash. Johns returned some of the merchandise purchased in (1). The cost of the merchandise was $700 and Johns account was credited by the supplier. Merchandise costing $2,900 was sold for $5,400 in cash. Required: Prepare the necessary journal entries to record these transactions. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)