July		3		Purchase CDs on account from Wholesale Music for $2,050, terms 2/10, n/30.
July		4		Pay cash for freight charges related to the July 3 purchase from Wholesale Music, $120.
July		9		Return incorrectly ordered CDs to Wholesale Music and receive credit, $200.
July		11		Pay Wholesale Music in full.
July		12		Sell CDs to customers on account, $5,300, that had a cost of $2,750.
July		15		Receive full payment from customers related to the sale on July 12.
July		18		Purchase CDs on account from Music Supply for $2,850, terms 2/10, n/30.
July		22		Sell CDs to customers for cash, $3,950, that had a cost of $2,250.
July		28		Return CDs to Music Supply and receive credit of $250.
July		30		Pay Music Supply in full.

Required:

1. Assuming that CD City uses a perpetual inventory system, record the transactions. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) ONLY need for JULY 11st.

2. Prepare the top section of the multiple-step income statement through gross profit for the month of July.