Make the required entries for Tangent Company, a seller of specialized nutritional supplements.

May 1 Tangent sold Recipient Company 100 cartons of its nutritional product at a cost of $50 per carton. Tangents cost of manufacturing and packaging this product was $25 per carton. Terms of sale were 2/10/net 30.

May 4 Recipient Company returned 10 cartons for credit indicating that its original order was for 90 cartons instead of the 100 cartons shipped.

May 9 Recipient Company pays in full for 90 cartons of food supplements.

May 15 Tangent performs an audit of its inventory which was recorded in the perpetual inventory record at $400,000. However, the inventory count and compilation indicated the value of the inventory to be $390,000.