Required information Use the following information for the Exercises below The following information applies to the questions displayed below.) Alled Merchandisers was organized on May 1. Macy Co. is a major customer (buyer) of Alliled (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 price of $10 cash per unit (for a total cost of $20,000). 5 Allied sold 1,500 of the units in inventory for $14 per unit (invoice 7 Macy returns 125 units because they did not fit the customer's needs 8 Macy discovers that 200 units are scuffed but are still of use and, total: $21,000) to Nacy co. under credit terms 2/10, n/60. The goods cost Allied $15,000 (invoice amount: $1,750). Allied restores the units, which cost $1,250, to its inventory. therefore, keeps the units. Allied sends Macy a credit memorandum for $300 toward the original invoice anount to compensate for the damage. 15 Allied receives payment from Nacy for the amount owed on the May5 purchase; payment is net of returns, allowances, and any cash discount. Exercise 4-5 Recording purchases, purchases returns, and purchases allowances LO P1 Prepare the appropriate journal entries for Macy Co. to record each of the May transactions. Macy is a retailer that uses the gross method and a perpetual Inventory system, and purchases these units for resale. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet 2 3 4 5 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. 03 Record entry View general journal Clear entry