Instructions Record the following transactions for Sparky's Pet Shop, Date August 1 3 7 Transaction Purchased $6,000 of merchandise on account, terms 2/10, 1/30 Returned $1,500 of merchandise purchased on August 1 due to defects. Recorded cash sales for the first wook of August, $9,750; cost of the merchandise was $4,000. Made sale on account to a local broeder for $500, terms 1/10 net 30; cost of the merchandise was $200 Paid for the merchandise purchased on August 1, loss return Received payment from sale of August 10 10 11 20 Required: Journalize the above transactions. Assume Sparky's uses a perpetual inventory system refer to the Chart of Accounts for exact wording or account titles Chart of Accounts CHART OF ACCOUNTS Sparky's Pet Shop General Ledger ASSETS REVENUE 110 Cash 410 Sales 120 Accounts Receivable 125 Notes Receivable EXPENSES 510 Cost of Goods Sold 130 Inventory 131 Estimated Returns Inventory 140 Supplies 142 Prepaid Insurance 180 Land 521 Delivery Expense 522 Advertising Expense 523 Depreciation Expense 526 Salaries Expense 531 Rent Expense 190 Equipment 191 Accumulated Depreciation 533 Insurance Expense 534 Supplies Expense 536 Credit Card Expense LIABILITIES 191 Accumulated Depreciation 533 Insurance Expense 534 Supplies Expense LIABILITIES 536 Credit Card Expense 560 Miscellaneous Expense 210 Accounts Payable 216 Salaries Payable 221 Sales Tax Payable 222 Customers Refunds Payable 710 Interest Expense 231 Unearned Rent 241 Notes Payable EQUITY 310 Common Stock 311 Retained Earnings 312 Dividends Journalize each transaction. Refer to the Chart of Accounts for exact wording of account titles PAGE 1 JOURNAL ACCOUNTING EQUATION DATE DESCRIPTION POST REF DET CREDIT ASSETS LIABILITIES EQUITY 1 2 4 6 1 10