. operates in the province of Ontario and sells merchandise on which HST must be charged at a rate of 13%. Flounder uses a perpetual inventory syste end. or the business for the month of March are shown below: eived an order from Franz Madolf for a specialty item not in stock. Due to the cost and nature of the item, Flounder required Madolf to pay $800 in advan eived $800 cash from Madolf toward the order placed on March 1. merchandise on account and shipped merchandise to Shamrock, Inc. for $30,000, plus HST terms n/30, FOB shipping point. This merchandise cost Stra ted Shamrock a sales allowance of $1,000 (plus related taxes) for defective merchandise purchased on March 5. No merchandise was returned. ected amount owing from Shamrock. ournal entries to record the March transactions of Flounder Corp. (Credit account titles are automatically indented when the amount is entered. D 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 Account Titles and Explanation To record sales and sales tax payable) Debit Credit Activate Windows