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Problem 5-3A Journal entries for merchandising activities-perpetual LO3 The Jewel Box purchases jewellery from around the world and sells to local retailers in Canada. Consider

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Problem 5-3A Journal entries for merchandising activities-perpetual LO3 The Jewel Box purchases jewellery from around the world and sells to local retailers in Canada. Consider the following perpetual system merchandising transactions of The Jewel Box. Use a separate account for each receivable and payable, for example, record the purchase on August 1 in Accounts Payable-Luu Company. Aug. 1 Purchased necklaces from Luu Company for $4,900 under credit terms of 1/10, n/30, FOB destination. 4 At Luu Company's request, paid $440 for freight charges on the August 1 purchase, reducing the amount owed to Luu. 5 Sold rings to Green Ruby for $4,340 under credit terms of 2/10, n/60, FOB destination. The merchandise had cost $2,920. 8 Purchased bracelets from Jane Co. for $6,100 under credit terms of 1/10, n/45, FOB shipping point. 9 Paid $415 shipping charges related to the August 5 sale to Green Ruby. 10 Green Ruby returned the rings purchased from the August 5 sale that had cost $530 and been sold for $890. The merchandise was restored to inventory. 12 After negotiations with Jane Co. concerning problems with the merchandise purchased on August 8, received a credit memo from Jane granting a price reduction of $400. 15 Received balance due from Green Ruby for the August 5 sale.. 17. Purchased office equipment from WestCo on credit, 56,900, n/45. 18 Paid the amount due Jane Co. for the August 8 purchase.. 19 Sold earrings to Chic Jewellery for $2,250 under credit terms of 2/10, n/30, FOB shipping point. The merchandise had cost $1,000. 22 Chic Jewellery requested a price reduction on the August 19 sale because the merchandise did not meet specifications. Sent Chic Jewellery a credit memo for $300 to resolve the issue. 29 Received Chic Jewellery's payment of the amount due from the August 19 purchase. 30 Paid Luu Company the amount due from the August 1 purchase. Prepare General Journal entries to record the above transactions

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