prepare journal entries to record the following transaction for a retail store. The company uses a perpetual inventory system and the gross method.

Exercise 5-3 Recording purchases, purchases returns, and purchases allowances LO P1 Prepare journal entries to record the following transactions for a retail store. The company uses a perpetual Inventory system and the gross method Aer. Purchased 6,50 of merchandise from Lyon Company with credit terms of 2/15, 1/60, invoice dated April 2, and Fog shipping point. 3 Paid 1970 cash for shipping charges on the April 2 purchase. 4 Returned to Lyon Company unacceptable merchandise that had an invoice price of $650. 17 Sent a check to Lyon Company for the April 2 purchase, net of the discount and the returned merchandise. 16 Purchased $12,00 of merchandise from Frist Corp. with credit terms of 1/10, 1/30, invoice dated April 18, and FOB destination 21 After negotiations, received from Frist 5600 allowance toward the $12,300 owed on the April 18 purchase. 28 Sent check to Frist paying for the April 18 purchase, net of the allowance and the discount. View transaction lit 1 Retumed to Lyon Company unacceptable merchandise that had an invoice price of $650. Sent a check to Lyon Company for the April 2 purchase, net of the discount and the returned merchandise. ms of Purchased $12.300 of merchandise from Frist Corp. with credit terms of 1/10, n/30, invoice dated April 18, and View transaction list X 1 Purchased $6,500 of merchandise from Lyon Company with credit terms of 2/15, n/60, invoice dated April 2, and FOB shipping point. es ms of 2 Paid $270 cash for shipping charges on the April 2 purchase. 3 Returned to Lyon Company unacceptable merchandise that had an invoice price of $650. 4 Sent a check to Lyon Company for the April 2 purchase, net of the discount and the returned merchandise. 5 Purchased $12,300 of merchandise from Frist Corp. with credit terms of 1/10, n/30, invoice dated April 18, and FOR doctination Note: journal entry has been entered Record entry Clear entry View general je 3 Returned to Lyon Company unacceptable merchandise that had an invoice price of $650. ms of k 4 Sent a check to Lyon Company for the April 2 purchase, net of the discount and the returned merchandise. 5 Purchased $12,300 of merchandise from Frist Corp. with credit terms of 1/10, n/30, invoice dated April 18, and FOB destination. ces 6 After negotiations, received from Frist a $600 allowance toward the $12,300 owed on the April 18 purchase. 7 Sent check to Frist paying for the April 18 purchase, net of the allowance and the discount. Note: -journal entry has been entered