Idaho Inc. is a wholesale company selling special parts for the automotive industry. The company uses FIFO and a perpetual inventory system. Its inventory records for part SA-123 show the following transactions for the month of May 2014:

Date	Transaction	Units	Unit	Units	Unit
		Purchased	Cost	Sold	Selling
					Price
May 1	Balance	120	$7.00
May 10	Purchase	500	$7.20
May 15	Sale			(100)	$12.40
May 20	Purchase	100	$7.35
May 21	Sale			(150)	$12.50
May 23	Purchase	250	$7.40

Instructions: Assume Idaho uses the average cost method, prepare the journal entries.