Prepare journal entries to record the following merchandising transactions of Mannion'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-King.) Aug. 1 Purchased merchandise from King Company for $9,90e under credit terms of 1/10, n/30, FOB destination, invoice dated August 1. Aug. 5 sold merchandise to walker Corp. for $6,400 under credit terms of 2/10, n/60, FOB destination, invoice dated August 5. The merchandise had cost $3,800. Aug 8 Purchased merchandise from Lane Corporation for $5,880 under credit terms of 1/18, n/45, FOB shipping point, invoice dated August 8. Aug. 9 Paid $925 cash for shipping charges related to the August 5 sale to walker Corp. Aug. 1e walker returned merchandise from the August 5 sale that had cost Mannion's $300 and was sold for $6ee. The merchandise was restored to inventory. Aug. 12 After negotiations with Lane Corporation concerning problems with the purchases on August 8, Mannion's received a credit memorandum from Lane granting a price reduction of $300 off the $5,880 of goods purchased. Aug. 14 At King's request, Mannion's paid $400 cash for freight charges on the August 1 purchase, reducing the amount owed to King. Aug. 15 Received balance due from Walker Corp. for the August 5 sale less the return on August 18. Aug. 18 Paid the amount due Lane Corporation for the August 8 purchase less the price allowance from August 12. Aug. 19 sold merchandise to Perry Co. for $4,600 under credit terms of n/10, FOB shipping point, invoice dated August 19. The merchandise had cost $2,eee. Aug. 22 Perry requested a price reduction on the August 19 sale because the merchandise did not meet specifications. Mannion's sent Perry a $400 credit memorandum toward the $4,880 invoice to resolve the issue. Aug. 29 Received Perry's cash payment for the amount due from the August 19 sale less the price allowance from August 22. Aug. 30 Paid King Company the amount due from the August 1 purchase. Garral Requirement That Schedule of Icon Schedule of Ladiger Rani Statement Income Journalize the merchandling transaction. The General Ledger, trial balance, and schedule of account receivable and ente payable will be updated based on your entre No Acceu Thule Agt March Acconciate-ing 0.00 Account - W SNS 3 Cost of cold Merchandisine 2011 Merchandise Accupati S. Delivery 235 Ag10 Sand 7 Ag10 Merchandi Cost of good 300 Accounts paya Merchandisine Aug 14 400 Accounts pays Cath DO DOO OOO OOO OO 90 90 90 90 00 00 00 00 00 10 Agt CA Sadics Acco 6.32 431 4.400 11 SOM Accounts payable- March Cath su 4. 2001 Account - Perry Se 4.000 2.000 Como o March 2001 14 Sam and Acconciate-Pary 400 13 Ch Sa discount Acco-Pary 4. 10 Accounts Cath 2,570 Haquinant Carral Lada > Requirement General Journal General Ledger Trial Balance Schedule of Receivables Schedule of Payables Income Statement Impact on Income Prepare a multiple-step income statement. Mannion's Company Income Statement For the Month Ended August 31, 2019 S 0 S 0 0 0 0 0 Operating expenses: Net income Requirement General Journal General Ledger Trial Balance Schedule of Receivables Schedule of Payables Income Statement Impact on Income For each transaction, indicate the impact each item had on income and the dollar amount of the change in income, if any. Input decreases to net income as negative values. Upon completion, compare the amount of income with the amount reported on the income statement. Impact on income Increase (decrease) to Income Aug. 1) Purchased merchandise from King Company for 59,900 under credit terms of 1/10,n/30, FOB destination invoice dated August 1. Aug. 5) Sold merchandise to Walker Corp. for $8,400 under credit terms of 2/10, 1/80, FOB destination, invoice dated August 5. Aug. 5) The merchandise sold to Walker had cost $3,800. Aug. 8) Purchased merchandise from Lane Corporation for $5,880 under credit terms of 1/10, 1/45, FOB shipping point invoice dated August 8. Aug. 9) Paid $925 cash for shipping charges related to the Augusi 5 sale to Walker Corp. Aug. 10) Walker returned merchandise from the August 5 sale that had sold for S600 Aug. 10) The cost of the merchandise returned by Mannion's was $300. The merchandise was restored to inventory. Aug. 12) After negotiations with Lane Corporation concerning problems with the purchases on Augusta Mannion's received a credit memorandum from Lane granting a price reduction of $800 off the $5,880 of goods purchased Aug. 14) At King's request, Mannion's paid $400 cash for freight charges on the August 1 purchase, reducing the amount owed to King, Aug. 15) Received balance due from Walker Corp. for the August 5 sale less the return on August 10. Aug. 18) Paid the amount due Lane Corporation for the August & purchase less the price allowance from August 12. Aug. 19) Sold merchandise to Perry Co. for $4,000 under credit terms of n/10, FOB shipping point, invoice dated August 19 Aug. 19) The cost of the merchandise sold merchandise to Perry was $2,000 Aug. 22) Perry requested a price reduction on the August 19 sale because the merchandise did not meet specifications. Mannion's sent Perry a $400 credit memorandurn toward the $4,000 invoice to resolve the issue. Aug. 29) Received Perry's cash payment for the amount due from the August 19 sale less the price allowance from August 22 Aug. 30) Paid King Company the amount due from the August 1 purchase Total Income S 0