Required information Use the following information for the Exercises below [The following information applies to the questions displayed below.] Allied Merchandisers was organized on May 1. Macy Co. is a major customer (buyer) of Allied (seller) products. May 3 Allied made its first and only purchase of inventory for the period on May 3 for 2,000 units at a 5 Allied sold 1,500 of the units in inventory for $14 per unit (invoice total: $21,000) to Macy Co 7 Macy returns 125 units because they did not fit the customer's needs (invoice amount: $1,750) Allied 8 Macy discovers that 200 units are scuffed but are still of use and, therefore, keeps the units price of $10 cash per unit (for a total cost of $20,000) under credit terms 2/10, n/60. The goods cost Allied $15,000 restores the units, which cost $1,250, to its inventory Allied sends Macy a credit memorandum for $300 toward the original invoice amount to compensate for the damage 15 Allied receives payment from Macy for the amount owed on the May 5 purchase; payment is net of returns, allowances, and any cash discount. ercise 4-5 Recording purchases, purchases returns, and purchases allowances LO P1 pare the appropriate journal entries for Macy Co. to record each of the May transactions. Macy is a retailer that uses the gross thod and a perpetual inventory system, and purchases these units for resale. (If no entry is required for a transaction/event, select View transaction list Journal entry worksheet 4 Allied made its first and only purchase of inventory for the period on May 3 for 2,000 units at a price of $10 cash per unit (for a total cost of $20,000) Note: Enter debits before credits. Date General Journal Debit Credit May 03