On June 10 , Sheridan Company purchased $7,850 of merchandise on account from Pronghorn Company, FOB shipping point, terms 2/10,n/30. Sheridan Company pays the freight costs of $490 on June 11. Goods totaling $650 are returned to Pronghorn for credit on June 12. On June 19, Sheridan Company pays Pronghorn Company in full, less the purchase discount. Both companies use perpetual inventory system. (a) Your answer is correct. Prepare separate entries for each transaction on the books of Sheridan Company. (Credit account titles are outomatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the occount titles and enter O for the amounts. Record journol entries in the order presented in the problem.) June 10: Inventory Accounts Payable June 11 inventory June 12 Accounts Payable June 19: June 12 Accounts Payable inventory Accounts Payable Inventory Prepare separate entries for each transaction for Pronghorn Company. The merchandise purchased by Sheridan Company on June 10 cost Pronghorn $4,600, and the goods returned cost Pronghorn $262. (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 0 for the amounts. Record journal entries in the order presented in the problem.) (To record merchandise returned) (To record cost of merchandise returned) June 19