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 Allied made its first and only purchase of inventory for the period on May 3 for 1.000 units at a price of $8 cash per unit for a total cost of $8,000). 5 Allied sold 500 of the units in Inventory for $12 per unit invoice total $6,000) to Macy Co. under credit terms 2/10, 1/60. The goods cost Allied $4,000. 7 Macy returns 50 units because they did not fit the customer's needs invoice Amount: $600). Allied restores the units, which cost $400, to its inventory 8 Maey discovers that 50 units are scuted but are still o use and therefore, keeps the units. Allied sends Macy credit memorandum for $200 toward the original invoice amount to compensate for the damage. 15 Allied receives payment from Macy for the count owed on the May 5 purchase payment is not of returns, allowances, and any cash discount. Exercise 4.4 Recording sales, sales returns, and sales allowances LO P2 Prepare journal entries to record the following transactions for Aled assuming it uses a perpetual Inventory system and the gross method. (Alled estimates returns using an adjusting entry at each year-end) View transaction ist View journal entry worksheet No Date General Journal Debit Credit Required Information View transaction list Journal entry worksheet 2 3 4 5 6 7 Allied made its first and only purchase of Inventory for the period on May 3 for 1,000 units at a price of $8 cash per unit (for a total cost of $8,000). int rences Note: Enter debits before credits General Journal Debit Credit Date May 03 Record entry Clear entry View general Journal View transaction list Journal entry worksheet 1 3 4 5 6 7 Allied sold 500 of the units in Inventory for $12 per unit (Invoice total: $6,000) to Macy Co. under credit terms 2/10, 1/60. Note: Enter debits before credits Date May 05 General Journal Debit Credit Record entry Clear entry View general journal View transaction list Journal entry worksheet Record the cost of goods sold. Note: Enter debits before credits Date General Journal Debit Credit May 05 Record entry Clear entry View general journal Required information View transaction list 1 of 2 Journal entry worksheet