Journalizing Sales, Sales Returns and Allowances, and Cash Receipts Prepare joumal entries for the following transactions. Aug. 4 Sold merchandise on account to S. Miller for $320 plus sales tax of 4%, with 2/10,n/30 cash discount terms. 6 Sold merchandise on account to K. Krtek for $210 plus sales tax of 4%. 10 5. Miller retumed merchandise purchased on August 4 for $20 plus sales tax for credit. 13 S. Miller paid the balance due on her account. 15 K. Krtek returned merchandise purchased on August 6 for $40 plus sales tax for credit. 20 K. Krtek paid the baiance due on his account