Litton Industries uses a perpetual inventory system. The company began its fiscal year with inventory of $285,000. Purchases of merchandise on account during the year totaled $935,000. Merchandise costing $920,000 was sold on account for $1,600,000. Prepare the journal entries to record these transactions. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list View journal entry worksheet No Transaction General Journal 1 1 Inventory 2 2 Accounts payable Accounts receivable Sales revenue 3 3 Cost of goods sold Inventory Debit Credit