Problem 1 Murphy Plumbing Supplies Inc, is a wholesaler of plumbing supplies. The following transactions occurred in July. Prepare the general journal entries to record these transactions under a perpetual inventory system.

Murphy Plumbing Supplies Inc, is a wholesaler of plumbing supplies. The following transactions occurred in July. Prepare the general journal entries to record these transactions under a perpetual inventory system. Jul 1 Purchased merchandise from Kohler Inc. on account for $1,900, FOB shipping point, terms n/30. Jul 2 Paid Express Transport $200 cash for the July 1 shipment from Kohler. Jul 3 Sold merchandise to Beantown Construction for $2,850, FOB destination, terms n/45. Cost of merchandise was $2,000. Jul 5 Received $100 credit from Kohler for retuned goods. Jul 6 Issued $150 credit to Beantown Construction for defective merchandise shipped on 7/3. Jul 8 Paid Kohler amount due. Jul 9 Paid Worcester Trucking $85 cash to deliver goods to Beantown Construction on 7/3. Jul 10 Received amount due from Beantown Construction. IIII 12 Purchased merchandise from Stanley Inc. on account for $1,750, FOB destination, terms n/30. July 14 Sold merchandise to Hanover Construction for $3,100, FOB shipping point, terms, n/45. Cost of merchandise was $2,200. Jul 20 Paid Stanley Inc. amount due. Jul 22 Received amount due from Hanover Construction