Feb. 3 Feb. 7 Purchased $2,600 of merchandise inventory on account under terms 3/10, n/EOM and FOB shipping point from Sascha's Nest. Returned $700 of defective merchandise purchased on February 3. Feb. 9 Paid freight bill of $200 on February 3 purchase. Feb. 10 Sold merchandise inventory on account for $4,800 to Time Meditation. Payment terms were 1/15, n/30. These goods cost the company $2,400. Feb. 12 Paid amount owed on credit purchase of February 3, less the return and the discount. Feb. 28 Received cash from Time Meditation in full settlement of their debt.