Recording Sales Gross and Net During June, the following transactions were incurred by Arno Company: On June 3, Arno Company sold to Chester Company merchandise for $4,000 with terms of 2/10, 1/60, F.o.b. shipping point $ 4,000 On June 11, the company received a check for the balance due from Chester Company Instructions (a) Prepare journal entries on the Arno Company books to record all the events noted above under each of the following bases: 1. Sales and receivables are entered at gross selling price. 2. Sales and receivables are entered net of cash discounts. Accounts Debit Credit Date 1 June 3 June 11 2. June 3 June 11 (b) Prepare the journal entry under each basis, assuming that Chester Company did not remit payment until July 29, 1. July 29 2 July 29