Question 3 On June 10, Sunland Company purchased $10,000 of merchandise on account from Culver Company, TOB shipping point, terms 1/10, 1/30. Sunland pays the freight costs of $560 on June 11. Damaged goods totaling $400 are returned to Culver for credit on June 12. The fair value of these goods is $75. On June 19, Sunland pays Culver Company in full, less the purchase discount. Both companies use a perpetual inventory system. (a) Your answer is correct. Indented when amount is entered. Prepare separate entries for each transaction on the books of Sunland Company. (Credit account Do not indent manually. Record journal entries in the order presented in the problem.) A Date Account Titles and Explanation June 10 Inventory Accounts Payable Inventory JU 500 560) Cash Accounts Payable JL 400 L ll Town - A (b) Prepare separate entries for each transaction for Culver Company. The merchandise purchased by Sunland on June 10 had cost Gulver $5,500. (Credit account tities are automatically indented when amount is entered. Do not indent manually. Record fournal entries in the order presented in the problem.) Credit Date Debit Account Titles and Explanation (To record credit sale)