On June 10, Sunland Company purchased $7,150 of merchandise on account from Grouper Company, FOB shipping point, terms 1/10, n/30. Sunland Company pays the freight costs of $420 on June 11. Damaged goods totaling $350 are returned to Grouper for credit on June 12. The fair value of these goods is $75. On June 19, Sunland Company pays Grouper Company in full, less the purchase discount. Both companies use a perpetual inventory system. Your answer is partially correct. Prepare separate entries for each transaction on the books of Sunland Company. (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 June 10 Accounts Receivable Sales Revenue Debit 7150 June 12 Sales Returns and Allowances 350 Accounts Receivable June 12 Inventory Cost of Goods Sold 75 Credit 715 35 7