Prepare journal entries to record each of the following transactions of a merchandising company The company uses a perpetual inventory system and the gross method. 1,ese units of product at a cost of $16 per unit. Terns of the sale are 4/10, n/58; the invoice is dated Novenber Nov. 7 Returned 5e defective units from the Novenber 5 purchase and received full credit. Nov. 15 Paid the amount due from the November 5 purchase, less the return on November 7 View transaction list View journal entry worksheet No Date /1 Nov 05 Administrative expenses 44,400 44,400 Accumulated depreciation 1.000 1,000 Accounts payable 170 21 170 --2-t Nov 07-/Accounts payable 1.000 2.170 3Nov 15 Accounts payable 2,170