P5-3A

5 Paid freight oli stmp 7 Sold merchandise to Denton Corporation, $5,300 (34 7 Paid S300 freight on August 7 shipment and billed Denton for the charges. 9 Returned S800 worth of the merchandise purchased August I from Norris, Inc., because it was defective. Norris approved the return. 9 Received $750 of returned merchandise ($500 cost) from Denton Corporation. Rockford approved the return. 10 Paid Norris, Inc., the amount due. 14 Purchased from Chambers, Inc., goods with a price of $9,000. Terms 1/10, n/30 15 Paid freight on shipment from Chambers, Inc., $320. 17 Received the amount due from Denton Corporation. 18 Sold merchandise to Weber, Inc., $9,600 (S6,600 cost) 20 Paid $350 freight on August 18 shipment and billed Weber for the charges. 24 Paid Chambers, Inc., the amount due. 28 Received the amount due from Weber, Inc. Required Prepare journal entries for these transactions for Rockford Corporation. PS-3A. Effects of Transactions on the Inventory Account-Perpetual System LO Watt Wholesale Company of re- tailers. All sales are subject to a cash discount (2/10, n/30). Watt uses a perpetual inventory system. The May I balance in Watt's Inventory account was a $70,000 debit. The following transactions oc- curred during May: May 2 Purchased S5,500 of merchandise from Ajax Manufacturing: terms are 1/10, n/30. 4 Paid $200 freight on the May 2 purchase. 12 Paid Ajax for the May 2 purchase. 14 Purchased $4.000 of merchandise from Baker Manufacturing: terms are 2/10, n/45. 16 Received a $300 allowance on the May 14 purchase since some of the merchandise was the wrong color. All of the merchandise is salable at regular prices