GL0502 (Algo) - Based on Problem 5-2A LO P1, P2 Prepare journal entries to record the following merchandising transactions of Zhang's, which uses the perpetual inventory system. August 1 Purchased merchandise from Hall Company for $13,300 under credit terms of 1/10, n/30, FOB destination, invoice dated August 1. August 5 Sold merchandise to Turner Corporation for $8,100 under credit terms of 2/10, n/60, FOB destination, invoice dated August 5. The merchandise had cost $4,900. August 8 Purchased merchandise from Knight Corporation for $6,560 under credit terms of 1/10, n/45, FOB shipping point, invoice dated August 8. August 9 Paid $325 cash for shipping charges related to the August 5 sale to Turner Corporation August 10 Turner returned merchandise from the August 5 sale that had cost Zhang's $100 and was sold for $200. The merchandise was restored to inventory. August 12 After negotiations with Knight Corporation concerning problems with the purchases on August 8, Zhang's received a credit memorandum from Knight granting a price reduction of $1,000 off the $6,560 of goods purchased. August 14 At Hall's request, Zhang's paid $600 cash for freight charges on the August 1 purchase, reducing the amount owed to Hall. August 15 Received balance due from Turner Corporation for the August 5 sale less the return on August 10. August 18 Paid the amount due Knight Corporation for the August 8 purchase less the price allowance from August 12. August 19 Sold merchandise to Griffin Company for $4,400 under credit terms of n/10, FOB shipping point, invoice dated August 19. The merchandise had cost $2,200. August 22 Griffin requested a price reduction on the August 19 sale because the merchandise did not meet specifications. Zhang's sent Griffin a $500 credit memorandum toward the $4,400 invoice to resolve the issue. August 29 Received Griffin's cash payment for the amount due from the August 19 sale less the price allowance from August 22. August 30 Paid Hall Company the amount due from the August 1 purchase. Requirement General Journal General Ledger Trial Balance Schedule of Receivables Schedule of Payables Income Statement Impact on Income Journalize the merchandising transactions. The General Ledger, trial balance, and schedules of accounts receivable and accounts payable will be updated based on your entries.