Prepare journal entries to record the following merchandising transactions of Cabela's, which uses the perpetual inventory system and the gross method. (Hint: It will help to identify each receivable and payable; for example, record the purchase on July 1 in Accounts Payable--Boden.) 1 Purchased merchandise from Boden Company for $6,000 under credit terns of 1/15, 1/30, Fashipping point, invoice dated July 1. Jul. 2 Sold merchandise to Creek Co for $900 under credit terms of 2/10, 1/60) FOO shipping point, invoice dated July 2. The merchandise had cost $500. Jul. Paid $125 cash for freight charges on the purchase of July 1. ul. Sold nerchandise that had cost $1,000 for $1,700 cash Jul. 9 Purchased merchandise from Leight Co. for $2,200 under credit terns of 2/15, 1/60, FOB destination, Invoice dated July 9, Jul. 11 Returned $200 of merchandise purchased on July 9 from Leight Co. and debited its account payable for that amount Dui. 12 Received the balance due from Creek Co. for the invoice dated July 2, net of the discount. Jul. 16 Paid the balance due to Boden Company within the discount period. Bul. 19 Sold merchandise that cost $100 to Art Co. for $1,200 under credit terms of 2/15, 1/6, FON shipping point, Invoice dated July 19 Oul. 21 dve price reduction allowance) of $100 to art com for merchandise sold on July 19 and credited Arts account receivable for that amount Jul. 24 Pald Leight co the balance due, net of discount Jul 3 Received the balance due from Art Co. for the invoice dated July 19, net of discount Jul. Sold merchandise that cost $4,800 to Creek Co for $7,000 under credit terns of 2/10, 1/60, FOB shipping point, invoice dated July 31. accounts payable will be updated based on your entries. No Date Account Title Debit Credit 1 Jul 01 6,000 Merchandise inventory Accounts payable - Boden 6,000 2 Jul 02 900 Accounts receivable - Creek Sales 900 O 3 Jul 02 500 Cost of goods sold Merchandise inventory 500 4 Jul 03 125 Merchandise inventory Cash 125 5 Jul 08 Cash 1.700 Sales > 1,700 6 Jul 08 1300 Cost of goods sold Merchandise inventory 1,300 7 Jul 09 2.200 Merchandise inventory Accounts payablo - Light 2,200 8 Jul 11 200 Accounts payable - Leight Merchandise inventory o 200 9 Jul 12 Cash 882 Sales discounts Accounts receivable - Creek 003 18 900 10 Jul 16 Accounts payable - Boden Merchandise inventory Cash 6,000 120 5,880 11 Jul 19 1,200 Accounts receivable - Art Sales 1.200 12 Jul 19 800 Cost of goods sold Merchandise inventory 800 13 Jul 21 100 > Sales returns and allowances Accounts receivable Art 100 14 Jul 24 2,200 > Accounts payable Light Merchandise inventory Cash 03 44 2156 12 Jul 19 800 Cost of goods sold Merchandise inventory >> 800 13 Jul 21 100 Sales returns and allowances Accounts receivable - Art 100 14 Jul 24 2,200 Accounts payable Leight Merchandise inventory Cash 44 2.156 15 Jul 30 Cash 1,200 Sales discounts Accounts receivable Art OOO 249 1.176 % 16 Jul 31 Accounts receivable Creek Salos 7,000 7,000 17 Jul 31 4.800 Cost of goods sold Merchandise inventory O 4.800 n/ Jul. 31 Sold merchandise that cost $4,800 to Creek Co. for $7,000 under credat terms of dated July 31. Answer is not complete. Requirement General Journal General Ledger Trial Balance Schedule of Receivables Schedule of Payables Income Statement Impact on Income Prepare a multiple-step income statement through the calculation of gross profit. Cabela's Company Partial Income Statement For the Month Ended July 31, 2019 Accounts payable Art $ $ 0 OO 0 0 0 0 Impact on income Increase (decrease) to income July 1) Purchased merchandise from Boden Company for $6,000 under credit terms of 1/15, n/30, FOB shipping point, invoice dated July 1 July 2) Sold merchandise to Creek Co for $900 under credit terms of 2/10, 1/60, FOB shipping point, invoice dated July 2 July 2) The cost of the merchandise sold to Creek Co was $500 July 3) Paid $125 cash for freight charges on the purchase of July 1 July 8) Sold merchandise for $1,700 cash July 8) The cost of the merchandise sold was $1,300. July 9) Purchased merchandise from Leight Co. for $2,200 under credit terms of 2/15, 1/60, FOB destination, invoice dated July 9 July 11) Received a $200 credit memorandum from Leight Co for the return of part of the merchandise purchased on July 9 July 12) Received the balance due from Creek Co. for the invoice dated July 2, net of the discount July 16) Paid the balance due to Boden Company within the discount period July 19) Sold merchandise to Art Co. for $1,200 under credit terms of 2/15 n/60 FOB shipping point, invoice dated July 19 July 19) The cost of the merchandise sold to Art Co was Prev 1 of 2 Next Check my work mode : This shows what is correct or incorrect for the work you Leight Co. for the return of part of the merchandise purchased on July 9 July 12) Received the balance due from Creek Co for the invoice dated July 2, net of the discount July 16) Paid the balance due to Boden Company within the discount period July 19) Sold merchandise to Art Co for $1,200 under credit terms of 2/15, n/60, FOB shipping point, invoice dated July 19 July 19) The cost of the merchandise sold to Art Co. was $800 July 21) Issued a $100 credit memorandum to Art Co. for an allowance on goods sold on July 19 July 24) Paid Leight Co the balance due, net of discount July 30) Received the balance due from Art Co for the invoice dated July 19, net of discount July 31) Sold merchandise to Creek Co for $7,000 under credit terms of 2/10,n/60, FOB shipping point, invoice dated July 31 July 31) The cost of the merchandise sold to Creek Co was $4,800 Total gross profit (Income Statement Impact on Income