Jerry's Flowers sold and shipped merchandise across the country to a buyer. The terms were FOB destination. Assuming it paid the bill immediately, demonstrate the journal entry required by Jerry's Flowers under the perpetual inventory system to record the freight charges.

• Debit Merchandise Inventory; credit Freight-Out.
• Debit Delivery Expense; credit Cash.
• Debit Sales; credit Cash.
• Debit Merchandise Inventory; credit Cash.