Prepare joumal entries to record each of the merchandising transactions assuming that the company records purchases using the gross method and a periodic inventory system. Nov. 5 Purchased 1,4ee units of product at a cost of $40 per unit. Terms of the sale are 5/10, n/68; the invoice is dated November 5. Nov. 7 Returned 25 defective units from the November 5 purchase and received full credit. Nov. 15 Paid the amount due from the November 5 purchase, minus the return on November 7. View transaction list Journal entry worksheet