Journalize the following transactions for ABC Corporation.

They are a boot retailer and use the PERPETUAL inventory.

9.5.14 Purchased $40,000 of boots on account from ZQY, Inc. Terms were 5/10 n/30.

9.10.14 Returned $3,000 of boots to ZQY, Inc.

9.15.14 Received a freight bill for $700.

Invoice related to the shipment of boots received from ZQY, Inc. on 9.5.14. Terms were FOB Destination.

9.17.14 Sold $6,000 of boots to Winters Business on account. Terms were 3/10 n/30.

The boots cost to ABC Corporation was $3,000.

9.20.14 Winters Business returned $1,000 of the boots sold on 9.17.14.

10.2.14 Winters Business paid the full amount due.

10.5.14 Paid ZQY, Inc. the amount due.

QUESTIONS

1. How much does Winters Business owe at the end of September 2014?

2. What is the balance in the Sales Discount account at the end of September 2014?

3. What is the balance in the Purchases account at the end of September 2014?

4. How much does ABC Corporation owe ZQY, Inc. at the end of September 2014?

5. What is the balance in the Inventory account at the end of September 2014?