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 $6,700 under credit terms of 2/15, 1/30, FOB shipping point, invoice dated July 1. July 2 Sold merchandise to Creek Company for $950 under credit terms of 2/10, 1/60, FOB shipping point, invoice dated July 2. The merchandise had cost $558. July 3 Paid $140 cash for freight charges on the purchase of July 1. July 8 Sold merchandise that had cost $2,000 for $2,400 cash. July 9 Purchased merchandise fron Leight Company for $2,900 under credit terns of 2/15, 1/60, FOB destination, invoice dated July 9. July 11 Returned $900 of merchandise purchased on July 9 from Leight Company and debited its account payable for that amount. July 12 Received the balance due fron 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 Sold merchandise that cost $800 to Art Company for $1,200 under credit terns of 2/15, n/66, FOB shipping point, invoice dated July 19. July 21 Gave a price reduction Callowance) of $200 to Art Company for merchandise sold 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 $5,500 to Creek Company for $7,480 under credit terms of 2/10, 1/68, FOB shipping point, invoice dated July 31. View transaction list View journal entry worksheet No Dato July 01 Credit 1 General Journal Merchandise Inventory Accounts receivable-Boden Debit 6,700 6,700 2 July 02 950 Accounts receivable Creek Sales 950 3 July 02 558 Cost of goods sold Merchandise inventory 558 4 July 03 Merchandise inventory Cash 140 140 5 July 08 2,400 Cash Sales 2.400 6 July 08 Cost of goods sold 2,000 AAA