Latona Hardware store completed the following merchandising transactions in the month of May. At the beginning of May, the ledger of Latona Hardware showed cash of $5,000 and Common Stock of $5,000.

Enter the beginning cash and common stock balances and post the transactions.

Problem 5-2A Latona Hardware Store completed the following merchandising transactions in the month of May. At the beginning of May, the ledger of Latona Hardware Store showed Cash of $5,000 and Common Stock of $5,000. May 1 Purchased merchandise on account from Gray's Wholesale Supply $4,200, terms 2/10, 1/30. 2 Sold merchandise on account $2,100, terms 1/10, 1/30. The cost of the merchandise sold was $1,300 5 Received credit from Gray's Wholesale Supply for merchandise returned $300. 9 Received collections in full, less discounts, from customers billed on sales of $2,100 on May 2. 10 Paid Gray's Wholesale Supply in full, less discount. 11 Purchased supplies for cash $400 12 Purchased merchandise for cash $1,400. 15 Received refund for poor quality merchandise from supplier on cash purchase $150. 17 Purchased merchandise from Amland Distributors $1,300, FOB shipping point, terms 2/10, 1/30. 19 Paid freight on May 17 purchase $130. 24 Sold merchandise for cash $3,200. The merchandise sold had a cost of $2,000. 25 Purchased merchandise on account from Horvath, Inc. $620, FOB destination, terms 2/10, 1/30. 27 Paid Amland Distributors in full, less discount. 29 Made refunds to cash customers for defective merchandise $70. The returned merchandise had a fair value of $30. 31 Sold merchandise on account $1,000, terms n/30. The cost of the merchandise sold was $560. Latona Hardware Store's chart of accounts includes the following: No. 101 Cash, No. 112 Accounts Receivable, No. 120 Inventory, No. 126 Supplies, No. 201 Accounts Payable, No. 311 Common Stock, No. 401 Sales Revenue, No. 412 Sales Returns and Allowances, No. 414 Sales Discounts, and No. 505 Cost of Goods Sold. Enter the beginning cash and common stock balances and post the transactions. (Post en Cash Date No. 101 Balance Explanation Ref. Debit Credit May 1 Balance May 9 May 10 - May 11 4 May 12 - May 15 May 19 May 25 May 27 May 29 Accounts Receivable Date Explanation No. 112 Balance Ref. Debit Credit Accounts Receivable Date Explanation No. 112 Balance Ref. Debit Credit Inventory Date No. 120 Balance Explanation Ref. Debit Credit Supplies Date No. 126 Balance Explanation Ref. Debit Credit J1 Accounts Payable Date Explanation No. 201 Balance Ref. Debit Credit Common Stock Date Explanation No. 311 Balance Ref. Debit Credit Balance 5000 Sales Revenue Date Explanation No. 401 Balance Ref. Debit Credit Sales Returns and Allowances Date Explanation Ref. No. 412 Balance Debit Credit 31 Sales Discounts Date Explanation No. 414 Balance Ref. Debit Credit Cost of Goods Sold Date Explanation No. 505 Balance Ref. Debit Credit 31