Part a.

Prepare General Journal entries to record the following perpetual system merchandising transactions of Lyrex Company.

Mar 5 Purchased 50,000 of merchandise from Delton Suppliers paying cash.

Mar 6 Sold merchandise for 32,000 to Tessier & Welsh; terms 2/10, n/30, FOB destination (cost of sales 25,600)

Mar 7 Purchased merchandise from Janz Company for 64,000; terms 1/10, n/45 FOB shipping point.

Mar 8 Paid 150 shipping costs regarding the purchase of Mar 7.

Mar 9 Sold merchandise for 56,000 to Parker Company; terms 2/10, n/30 FOB destination (cost of sales 46,000)

Mar 10 Purchased 14,000 of merchandise from Delton Suppliers; terms 2/10, n/45, FOB destination

Mar 16 Collected the balance owing from Tessier & Welsh regarding the Mar 6 sale.

Mar 17 Paid for the Mar 7 purchase from Janz Company

Mar 30 Paid for the Mar 10 purchase from Delton Suppliers.

Mar 31 Collected the balance owing from Parker Company regarding the sale of Mar 9.

Part b.

Based on the information above calculate the Net Sales, Cost of Goods Sold, and Gross Profit for the month ended Mar 31, 2011.