Prepare journal entries to record the following merchandising transactions of Cabela's, which uses the perpetual inventory system and the gross method July 1 Purchased merchandise from Boden Company for $7,000 under credit terms of 2/15, n/30, POB shipping point, invoice dated July 1. July 2 sold merchandise to Creek Company for $900 under credit terms of 2/10, 1/60, FOB shipping point, Invoice dated July 2. The merchandise had cost $583. July 3 Paid $115 cash for freight charges on the purchase of July 1. July 8 Sold merchandise that had cost $2,300 for $2,700 cash. July purchased merehandise from Light Company for $2.700 under credit term of 2/15, 1/60, ron destination, Invoice July 11 Returned $700 of merchandise purchased on July 9 from Light Company and debited ito account payable for that amount. July 12 Received the balance due from Creek Company 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 Bold merchandise that cont $800 to Art Company for $1,200 under credit terns of 2/15, 1/60, roo shipping point, July 21 Gave a price reduction (allowance) of $200 to Art Company for merchandise Hold on July 19 and credited Art's accounts receivable for that amount. July 24 Paid Leight Company the balance due, net of discount. July 30 Received the balance due from Art Company for the invoice dated July 19, net of discount. July 31 Sold merchandise that cost $5,000 to Creek Company for $7.400 under credit terms of 2/10, n/60, Pon shipping point, invoice dated July 31. View transaction list Journal entry worksheet 8 17 > Journal entry worksheet .... Purchased merchandise from Boden Company for $7,000 under credit terms of 2/15, n/30, FOB shipping point, invoice dated July 1. Note: Enter debits before credits. Date July 01 Debit Credit General Journal Merchandise inventory Accounts payable -Boden 7,000 7,000