Prepare journal entries to record the following merchandising transactions of Perry's, which uses the perpetual inventory system and the gross method.

Prepare journal entries to record the following merchandising transactions of Perry's, which uses the perpetual inventory system and the gross method. July 1 Purchased merchandise from Mitchell Company for $11,400 under credit terms of 1/15, n/30, FOB shipping point, invoice dated July 1. July 2 Sold merchandise to Mannion Company for $3,600 under credit terms of 2/10, n/60, FOB shipping point, invoice dated July 2. The merchandise had cost $2,160. July 3 Paid $1,205 cash for freight charges on the purchase of July 1. July 8 Sold merchandise that had cost $4,300 for $7,100 cash. July 9 Purchased merchandise from Turner Company for $4,900 under credit terms of 2/15, n/60, FOB destination, invoice dated July 9. July 11 Returned $1,000 of merchandise purchased on July 9 from Turner Company and debited its account payable for that amount. July12 Received the balance due from Mannion Company for the invoice dated July 2, net of the discount. July 16 Paid the balance due to Mitchell Company within the discount period. July 19 Sold merchandise that cost $4,600 to King Company for $6,600 under credit terms of 2/15, n/60, FOB shipping point, invoice dated July 19. July 21 Gave a price reduction (allowance) of $1,300 to King Company for merchandise sold on July 19 and credited King's accounts receivable for that amount. July 24 Paid Turner Company the balance due, net of discount. July 30 Received the balance due from King Company for the invoice dated July 19, net of discount. July 31 Sold merchandise that cost $7,400 to Mannion Company for $12,400 under credit terms of 2/10, n/60, FOB shipping point, invoice dated July 31. Requirement General Journal General Ledger Trial Balance Schedule of Receivables Schedule of Payables Income Statement Impact on Income General Journal tab - Journalize the merchandising transactions. The General Ledger, trial balance and schedules of accounts receivable and accounts payable will be updated based on your entries. General Ledger tab - One of the advantages of general ledger software is that posting is done automatically. To see the detail of all transactions that affect a specific account, or the balance in an account at a specific point in time, click on the General Ledger tab. Trial Balance tab - General ledger software also automates the preparation of trial balances. A trial balance lists each account from the General Ledger, along with its balance, either a debit or a credit. Total debits should always equal total crodite