Juice Drinks returned $25 of defective merchandise to its supplier. Demonstrate the required journal entry that Juice Drinks will record for the return, assuming the purchase was made on account and that Juice Store uses the periodic inventory system. Debit Purchases Returns and Allowances \$25 and credit Accounts Payable \$25. Debit Accounts Payable \$25 and credit Merchandise Inventory \$25. Debit Accounts Payable \$25 and credit Purchases Returns and Allowances \$25. Debit Accounts Payable \$25 and credit Cash \$25