On June 10, Pronghorn Company purchased $7,650 of merchandise on account from Pina Colada Company, FOB shipping point, terms 2/10, n/30. Pronghorn pays the freight costs of $580 on June 11. Goods totaling $650 are returned to Pina Colada for credit on June 12. On June 19, Pronghorn pays Pina Colada Company in full, less the discount. Both companies use a perpetual inventory system. (a) (b) -Your answer is partially correct. Prepare separate entries for each transaction for Pina Colada Company. The merchandise purchased by Pronghorn on June 10 cost Pina Colada $5,000, and the goods returned cost Pina Colada $253. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Record journal entries in the order presented in the problem.) Date Account Titles and Explanation 10 Accounts Receivable 10 11 ell Sales Revenue (To record credit sale) Cost of Goods Sold Inventory (To record cost of merchandise sold) Accounts Receivable Sales Revenue Cost of Goods Sold Inventory (To record merchandise returned) :12 Sales Returns and Allowances he 19 Accounts Receivable (To record cost of merchandise returned) Cash Sales Discounts Accounts Receivable Debit 5000 253 Credit