Question 2 (80 points: 8 points each)

Prepare the necessary journal entries to record the following transactions, assuming KIKO Company uses a perpetual inventory system.

1. January 1^st, purchased merchandise from TAKOS Co. for $220,000, terms 2/10, n/30.

2. January 1^st, Paid $900 freight on the shipment.

3. January 2, Returned defective goods costing $50,000 to TAKOS for credit.

4. January 6, Paid for the merchandise purchased from TAKOS.

5. January 7, Sold $60,000 of merchandise to GOGO Co., terms 1/10, n/30. The merchandise cost $30,000.

6. January 7, Paid $ 100 freight cost on the shipment to GOGO Co.

7. January 8, GOGO. Co returned $30,000 of merchandise. The merchandise returned cost $15,000.

8. January 10, Received the full balance from GOGO.

Required:

1. Prepare the journal entries in KIKO books.
2. Prepare the journal entries for: Transaction: January 6 and January 10, assuming both payments were done on January 25.

1. Prepare the journal entries in KIKO books.

Date	ACCOUNT TITLE	Debit	Credit

Please be sure that the answer is correct 100%