QS 4-5 Recording purchases, returns, and discounts taken LO P1 Prepare journal entries to record each of the following transactions of a merchandising company. The compary uses a perpetual inventory system and the gross method Nov. 5 Purchased 600 units of product at a cost ot s10 per unit. Terma of the sale are 2/10, n/60 the invoico is dated Nov. 7 Returned 25 defective units from the November 5 purchase and received full credit. Nov. 15 Paid the amount due from the November 5 purchase, less the return on Novenber 7 November 5