Piper Specialty Store Ltd. completed the following merchandising transactions in the month of May 2021 . At the beginning of May, Piper's ledger showed Cash \$8,400; Accounts Receivable \$2,600; Inventory $4,200; Common Shares $9,200; and Retained Earnings $6,000. Piper Specialty has experienced a return rate of 2% of sales and uses a perpetual inventory system. May1point.PurchasedmerchandiseonaccountfromDepotWholesaleSupplyLtd.for$6,040,terms1/10,n/30,FOBshipping 3 Freight charges of $158 were paid by the appropriate party on the merchandise purchased on 1. 4 Sold merchandise on account to Yip Company for $4,200, terms n/30, FOB destination. The cost of the merchandise was $3,100. 7 Freight charges of $100 were paid by the appropriate party on the May 4 sale. 8 Received a $140 credit from Depot Wholesale Supply when merchandise was returned. 9 Paid Depot Wholesale Supply in full. 11 Purchased supplies for $460 cash. 14 Received payment in full from Yip Company for merchandise sold on account on May 4. 15 Collected $1,080 of the accounts receivable outstanding at the beginning of the month. All accounts were originally sold on terms of n/30. 18 Purchased merchandise from Harlow Distributors Inc. for $3,000, terms n/30, FOB destination. 21 Freight of $54 was paid by the appropriate party on the May 18 purchase of merchandise. 22 Sold merchandise to various customers for $8,000 cash. The cost of the merchandise was $4,500. 29 Paid a $108 cash refund to customers for returned merchandise. The cost of the returned merchandise was $62. It was restored to inventory. 31 A physical inventory count was taken and determined that there was $5,480 of inventory on hand. Prepare any adjustment required. Reco- amou Accounts Payable Inventory May 9 Accounts Payable Inventory Cash May 11 Supplies 460 Cash Accounts Receivable May 15v Cash 1080 Accounts Receivable May 18v Inventory 3000 Accounts Payable May 21 No Entry No Entry May 22v Cash 8000 Sales Freight In (Sale of goods) No Entry No Entry Sales Freight ln (Sale of goods) Freight In Inventory (Cost of goods sold recorded) May 29 Accounts Receivable 108 Cash (Return of merchandise) May 29v Inventory Accounts Payable (Return of merchandise, assuming goods are resaleable and returned to inventory) May 31 Cost of Goods Sold 5480 Inventory