June 1 Purchased $8,800 of merchandise inventory from Sun Supply Co., terms 1/15, n/30, FOB destination. 2 The correct company paid $200 cash for freight charges on the June 1 purchase. 5 Sold merchandise inventory to Moose Jaw Retailers for $11,500. The cost of the merchandise was $7,800 and the terms were 2/10, n/30, FOB destination. 6 Issued a $800 credit for merchandise returned by Moose Jaw Retailers. The merchandise originally cost $560 and was returned to inventory. 6 The correct company paid $280 freight on the June 5 sale. 7 Purchased $770 of supplies for cash. 10 Purchased $4,250 of merchandise inventory from Fey Wholesalers, terms 2/10, n/30, FOB shipping point. 10 The correct company paid $130 freight costs on the purchase from Fey Wholesalers. 12 Received a $300 credit from Fey Wholesalers for returned merchandise. 14 Paid Sun Supply Co. the amount due. 15 Collected the balance owing from Moose Jaw Retailers. 19 Sold merchandise for $7,300 cash. The cost of this merchandise was $4,500. 20 Paid Fey Wholesalers the balance owing from the June 10 purchase. 25 Made a $480 cash refund to a cash customer for merchandise returned. The returned merchandise had a cost of $315. The merchandise was damaged and could not be resold. 30

Sold merchandise to Bauer & Company for $4,400, terms n/30, FOB shipping point. Sheffield's cost for this merchandise was $2,800

Record the transactions assuming Sheffield uses a perpetual inventory system.(Credit account titles are automatically indented when the amount is entered.Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Record journal entries in the order presented in the problem.)

Set up general ledger accounts for Merchandise Inventory, Sales, Sales Returns and Allowances, Sales Discounts, and Cost of Goods Sold. Enter the beginning merchandise inventory balance, and post the transactions.