Help Save & Exit Submit 17 GLO4-02-Based on Problem 4-2A Lowe's Company LO P1, P2 0.92 points Prepare journal entries to record the following merchandising transactions of Lowe's, which uses the perpetual inventory system. (Hint: It will help to identify each receivable and payable: for example, record the purchase on August 1 in Accounts Payable-Aron.) Aug. 1 Purchased merchandise trom Aron Company for $7,500 under credit terms of 1/10, n/30, ron destinat.lon, eBook invoice dated August 1 dated August 5. The merchandise had cost $4,000 point, invoice dated August 8 merchandise was restored to inventory received a credit memorandum from Watera granting a price reduction of $400 off the $5,400 of gooda credit terms of 2/10, n/60, POB destination, invoice r s5,400 under credit terma ot 1/10, n/45, ros shipping References Aug. 5 sold Aug. 9 Paid $125 cash for shippi Aug. 10 Baird returned merchandise from the ing charges related to the August 5 sale to baird Corp August 5 sale that had cost Lowe's $400 and vas sold for $600. The Aug. 12 After negotiations with katers Corporation concerning problens with the parchases on August , Loves Aug. 14 At Aron's request, Lowe's paid $300 cash for freight charges on the August 1 purchase, reducing the amount owed to Aron Aug. 15 Received balance due from Baird Corp. for the August 5 sale less the return on August 10. Aug. 18 Paid the amount due waters corporation for the August 8 purchase less the price allowance from August 12, Aug 19 Sold merchandise to nic co. tor sa,a00 under eredit terns of n/10, roa shipping point, invoice dated August 19. The merchandise had cost $2,400 specifications. Love's sent Tux a $500 credit monorandum toward the $4,800 invoice to resolve the lasue. Aug. 22 Tux requested a price reduction on the August 19 sale because the serchandise did not meet Aug. 29 Received Tux's cash payment for the anount due from the August 19 sale less the price allovance from Aug. 30 Paid Aron Company the amount due from the August 1 purchase. Income Payables 17of 17 Next >