Question $1$ of $4$

Crane Stores is a new company that started operations on March $1,2024.$ The company has decided to use a perpetual inventory system. The following purchase transactions occurred in March:

Mar. Crane Stores purchases $$9,100$ of merchandise for resale from Octagon Wholesalers, terms $\frac{2}{10},\frac{n}{30},$ FOB shipping $1$ point.

$2$ The correct company pays $$155$ for the shipping charges.

$3$ Crane returns $$1,200$ of the merchandise purchased on March $1$ because it was the wrong colour. Octagon gives Crane a $$1,200$ credit on its account.

$21$ Crane Stores purchases an additional $$14,000$ of merchandise for resale from Octagon Wholesalers, terms $\frac{2}{10},\frac{n}{30},$ FOB destination.

$22$ The correct company pays $$195$ for freight charges.

$23$ Crane returns $$450$ of the merchandise purchased on March $21$ because it was damaged. Octagon gives Crane a $$450$ credit on its account.

$30$ Crane paid Octagon the amount owing for the merchandise purchased on March $1.$

$31$ Crane paid Octagon the amount owing for the merchandise purchased on March $21.$

Prepare Crane Stores' journal entries to record the above transactions. $($Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select $"$No Entry" for the acce credit entries.$)$

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Account Titles

Question $1$ of $4$

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Post the transactions to the Merchandise Inventory account. Compare the total in this account with the total of the cash during March by Crane for the purchase of inventory. $($Note: Assume there were no sales of inventory in March.$)($Post entries in the order of journal entries presented in the previous part.$)$

Merchandise Inventory

Total cash payments for inventory in March

$

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