PAS. LO 7.4 Brown Inc. records purchases in a purchases journal and purchase returns in the general journal. Record the following transactions using a purchases journal, a general journal, and an accounts payable subsidiary ledger. The company uses the periodic method of accounting for inventory. Oct. 1 Purchased inventory on account from Price Inc. for $2,000 Oct. 1 Purchased inventory on account from Cabrera Inc. for $3,000 Oct. 8 Returned half of the inventory to Price Inc. Oct. 9 Purchased inventory on account from Price Inc. for $4,200