Prepare journal entries to record the following merchandising transactions of Lowe's, which uses the perpetual inventory system. (Hint: It will help to identify each receivable and payable, for example, record the purchase on August 1 in Accounts Payable-Aron.) Rug Aug. 1 Purchased merchandise from Aron Company for $7,500 under credit terms of 1/10, 1/30, FOB destination, invoice dated August 1. 5 Sold merchandise to Baird Corp. for $5,200 under credit terns of 2/10, n/60, FOB destination, Invoice dated August 5. The merchandise had cost $4,000 Aug & Purchased merchandise from Waters Corporation for $5,400 under credit terns of 1/10, 1/45, FOB shipping point, invoice dated August 8. Aug. 9 Paid $125 cash for shipping charges related to the August 5 sale to Bard Corp. Aug. 10 Baird returned merchandise from the August 5 sale that had cost Lowe's $400 and was sold for $600. The merchandise was restored to inventory. Aug. 12 After negotiations with waters Corporation concerning problems with the purchases on August 8, Lowe's received a credit nemorandum from Waters granting a price reduction of $400 off the $5,400 of goods purchased. Aug. 14 At Aron's request, Lowe's paid $200 cash for freight charges on the August 1 purchase, reducing the amount owed to Aron. Aug. 15 Received balance due from Baird Corp. for the August 5 sale less the return on August 10. Aug. 18 Pald the amount due waters Corporation for the August 8 purchase less the price allowance from August 12. Aug. 19 Sold merchandise to Tux Co. for $4,800 under credit terms of n/10, FOB shipping point, invoice dated August 19. The merchandise had cost $2,400. Aug. 22 Tux requested a price reduction on the August 19 sale because the merchandise did not meet specifications. Lowe's sent Tux a $500 credit memorandum toward the 54,800 invoice to resolve the issue. Aug. 29 Received Tux's cash payment for the amount due from the August 19 sale less the price allowance from August 22. Aug. > Pald Aron Company the amount due from the August 1 purchase. General Requirement General Trial Balance Schedule of Schedule of Income Journal Impact on Ledger Receivables Payables Statement Income Journalire the merchandising transactions. The General Ledger, trial balance, and schedules of accounts receivable and accounts payable will be updated based on your entries. View transaction list Journal entry worksheet Aug. 1) Purchased merchandise from Aron Company for $7,500 under credit