Ivanhoe Wholesalers uses a perpetual inventory system. Mar. 1 2 3 21 Stellar Stores purchases $9,400 of merchandise for resale from Ivanhoe Wholesalers, terms 2/10, n/30, FOB shipping point. The correct company pays $175 for the shipping charges. Stellar returns $1,200 of the merchandise purchased on March 1 because it was the wrong colour. Ivanhoe gives Stellar a $1,200 credit on its account. Stellar Stores purchases an additional $12,000 of merchandise for resale from Ivanhoe Wholesalers, terms 2/10, n/30, FOB destination. 22 The correct company pays $175 for freight charges. 23 Stellar returns $300 of the merchandise purchased on March 21 because it was damaged. Ivanhoe gives Stellar a $300 credit on its account. 30 Stellar paid Ivanhoe the amount owing for the merchandise purchased on March 1. 31 Stellar paid Ivanhoe the amount owing for the merchandise purchased on March 21. Additional information: Mar. Ivanhoe's cost of the merchandise sold to Stellar was $4,100. 1