Question:Merchandising Problem!

Phantom Book Warehouse Ltd. distributes hardcover books to retail stores. At the end of May, Phantom's inventory consists of 250 books purchased at $18 each. Phantom uses a perpetual inventory system.During the month of June, the following merchandise transactions occurred:

June1

Purchased 180 books on account for $16 each from Reader's World Publishers, terms n/45.

June 3

Sold 220 books on account to The Book Nook for $25 each, with an average cost of $17, terms 2/10, n/45.

June 5

Received a $160 credit for 10 books returned to Reader's World Publishers.

June 8

Sold 80 books on account to Read-A-Lot Bookstore for $22 each, with an average cost of $17, terms 2/10, n/45.

June 9

Issued a $264 credit memorandum to Read-A-Lot Bookstore for the return of 12 damaged books. The books were determined to be no longer saleable and were destroyed.

June 11

Purchased 130 books on account for $15 each from Read More Publishers, terms n/45.

June 12

Received payment in full from The Book Nook.

June 17

Received payment in full from Read-A-Lot Bookstore.

June 22

Sold 125 books on account to Reader's Bookstore for $25 each, with an average cost of $17, terms 2/10, n/45.

June 25

Granted Reader's Bookstore a $375 credit for 15 returned books. These books were restored to inventory.

June 29

Paid Reader's World Publishers in full.

How do I do the following;

• Record transactions. (don't do it for me explain how to do it.)
• How do I make a T account for the Inventory account. (Including the opening balance, post the transactions related to Inventory and determine the ending balance in the account.)

Again I don't want the ANSWER I want to know what steps to take!