Question 1 (9 points) The following merchandise transactions occurred in December. Both companies use a perpetual inventory system. (1) On Dec 3, Pictou Ltd. sold goods to Thames Corp. for $80,000 on account, terms 2/10, n/30, FOB shipping point. The goods are shipped on that day. (The inventory had originally cost Pictou $36,000 to purchase. And Thames also purchased the goods for sale.) (2) On Dec 7, shipping cost of $1,000 were paid in cash by the appropriate company. (3) On Dec 8, Thames returned unwanted merchandise to Pictou. The returned merchandise has a total sales price of $2,000, and a cost of $1,200. It was restored to inventory. (4) On Dec 11, Pictou received the balance due from Thames. Required: (a) Record the above transactions in the books of Pictou based on dates. If there is no journal entry for Pictou at specific date, indicate "No" for the specific date. (b) Record the above transactions in the books of Thames based on dates. If there is no journal entry for Thames at specific date, write "No" for the specific date. (c) Calculate the gross profit earned by Pictou on the above transaction