Journal Entries for Merchandise Transactions on Seller's and Buyer's Books-Perpetual System The following are selected transactions for Lamont, Inc. during the month of june Ane 21 Sold and shipped on account to Lowery Company, $8.880 (8.000 cost) of merchandise, with terms of 2/10, 1/30 28 Lowery Company returned defective merchandise billed at $880 on June 21 (5810 cost) 20 Received from Lowery Company a check for full settlement of the June 21 transaction Required Prepare the necessary journal entries for (a) Lamont, inc. and (b) Lowery Company. Both companies use the perpetual inventory system Seller's Journal Entries Buyer's Journal Entries Date LAMONT, INC. GENERAL JOURNAL Description Debit Credit June 21 Accounts Receivable Sales Revenue 8.880 Sold merchandise to Lowery Comparty terms 2/10, n/30 21 Cost of Goods Sold 8,000 Inventory 8.000 Cost of merchandise sold to Lowery Company 28 Sales Returns and Allowances Accounts Receivable Merchandise returned by Lowery Company 28 Inventory Cost of Goods Sold Cost of merchandise returned by Lowery Company 30 Accounts payable Sales Discounts Sales Discounts X Received amount due from Lowery Company 880 810-> 810 DV OM