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Requlred Information [The following information applies to the questions displayed below.] Allied Merchandisers was organized on May 1. Macy Company is a major customer (buyer)
Requlred Information [The following information applies to the questions displayed below.] Allied Merchandisers was organized on May 1. Macy Company 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 3,6ee units at a price of \$8 cash per unit (for a total cost of $24, ). May 5 Allied sold 1, 50e of the units in inventory for $12 per unit (invoice total: $18, 0ee) to Macy Company under credit terms 2/10,n/6. The goods cost Allied $12,6. May 7 Macy returns 159 units because they did not fit the customer's needs (invoice amount: \$1,80e). Allied restores the units, which cost $1,20, to its inventory. May 8 Macy discovers that 150 units are scuffed but are still of use and, therefore, keeps the units. Allied gives a price reduction (allowance) and credits Macy's accounts receivable for $60 to compensate for the damage. May 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. Drepare the appropriate journal entries for Macy Company to record each of the May transactions. Macy is a retailer that uses the gross method and a perpetual inventory system; it purchases these units for resale. Note: If no entry ls requlred for a transection/event, select "No journal entry requlred" In the first account fleld
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