Q-3) On September 1, Salt Supply had an inventory of 15 backpacks at a cost of $25 each. The company uses a perpetual inventory system. During September, the following transactions and events occurred.

Sept. 4 Purchased 70 backpacks at $25 each from Jenks, terms 2/10, n/30. FOB destination $100. Sept. 6 Received credit of $150 for the return of 6 defective backpacks purchased on Sept.4 that had a scrap value of $10 each.

Sept. 9 Sold 40 backpacks for $35 each to McGill Books, terms 1/10, n/30. FOB shipping point

$100.

Sept. 13 Sold 15 backpacks for $35 each to Calvin Office Supply, terms n/30

Sept. 14 Paid Jenks in full.

Instruction:

Journalize the September transactions for Salt Supply assuming perpetual system. (5*2m=10 marks)