IV. Merchandising Activities (5x4=20 points) Prepare journal entries to record the following merchandising transactions of Yang Company, which applies the perpetual inventory system. May 2 Purchased merchandise from Bots Co. for $9,000 under credit terms of 1/15, n/30, FOB shipping point, invoice dated May 2. 5 Paid $150 cash for freight charges on the purchase of May 2. 9 Sold merchandise that had cost $1,800 for $2,400 cash. 17 Paid the balance due to Bots Co. within the discount period.