Ret Exercise 5-6 Recording sales, purchases, and cash discounts-buyer and seller LO P1, P2 Santa Fe Retailing purchased merchandise "as is" (with no returns) from Mesa Wholesalers with credit terms of 2/10, 1/60 and an invoice price of $25,800. The merchandise had cost Mesa $17,596. Assume that both buyer and seller use a perpetual inventory system and the gross method. 1. Prepare entries that the buyer records for the (a) purchase, (b) cash payment within the discount period, and (c) cash payment after the discount period. 2. Prepare entries that the seller records for the (a) sale. (b) cash collection within the discount period, and (c) cash collection after the discount period. Answer is not complete. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare entries that the seller records for the (a) sale, (b) cash collection within the discount period, and (c) cash collection after the discount period. No Transaction General Journal Credit Debit 25,800 1 Accounts receivable Sales 25,800 2 a-2 X 25,284 Cash Merchandise inventory 17.596 Prev 1 of 2 Next > MacBook Air 1 Retu 1. Prepare entries that the buyer records for the (a) purchase. (b) cash payment within the discount period, and (c) cash payment after the discount period. 2. Prepare entries that the seller records for the (a) sale. (b) cash collection within the discount period, and (c) cash collection after the discount period. Answer is not complete. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare entries that the seller records for the (a) sale, (b) cash collection within the discount period, and (c) cash collection after the discount period. No Transaction General Journal Debit Credit a-1 25,800 Accounts receivable Sales 25 800 o 2 a-2 25,284 & Cash Merchandise inventory 17,596 C 3 b 17,596 X Cost of goods sold Accounts receivable 25,800 4 C 25,800 Cash Accounts receivable 25,800 Prey 1 of 2 Next > DE BANK