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Prepare journal entries to record the following merchandising transactions of Lowe's, which uses the perpetual inventory system and the gross method. (Hint It will help

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Prepare journal entries to record the following merchandising transactions of Lowe'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 August 1 in Accounts Payable-Aron) Aug. 1 Purchased merchandise from Aron Company for $8,eee under credit terms of 1/18, n/30, FOB destination, invoice dated August 5 sold merchandise to Baird Corp. for $5,600 under credit terms of 2/10, n/68, FOB destination, invoice dated August 5. The merchandise had cost $4,eee 8 Purchased merchandise from Waters Corporation for $7,000 under credit terms of 1/18, n/45, FOoB shipping point, invoice dated August 8 9 Paid $188 cash for shipping charges related to the August 5 sale to Baird Corp. 10 Baird returned merchandise from the August 5 sale that had cost Lowe's S500 and was sold for si,eee The merchandise was restored to inventory 12 After negotiations with Waters Corporation concerning problems with the purchases on August 8, Lowe's received a credit memorandun from waters granting a price reduction of $709 off the $7,e00 of goods purchased. 14 At Aron's request, Love's paid $340 cash for freight charges on the August 1 purchase, reducing the amount owed to Aron. 15 Received balance due from Baird Corp. for the August S sale less the return on August 10 18 Paid the anount due Waters Corporation for the August 8 purchase less the price allowance from August 12. 19 Sold merchandise to Tux Co. for $4,800 under credit teras of n/10, FOB shipping point, Invoice dated August 19. The merchandise had cost $2,400. 22 Tux requested a price reduction on the August 19 sale because the merchandise did not meet specifications.Lowe's sent Tux a $800 credit menorandun toward the $4,800 invoice to resolve the issue. 29 Received Tux's cash payment for the unt due from the August 19 sale less the price allowance from August 22. 30 Paid Aron Company the anount due from the August 1 purchase. ew transaction list

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