Sandhill Hardware Store completed the following merchandising transactions in the month of May. At the beginning of May, the ledger of Sandhill showed Cash of $5,000 and Owner's Capital of $5,000. May 1 Purchased merchandise on account from Braun's Wholesale Supply for $4,100, terms 2/10, n/30. 2 5 Sold merchandise on account $1,900, terms 1/10, n/30. The cost of the merchandise sold was $1,000. Received credit from Braun's Wholesale Supply for merchandise returned $300. 9 Received collections in full, less discounts, from customers billed on May 2. 10 Paid Braun's Wholesale Supply in full, less discount. 11 Purchased supplies for cash $350. 12 Purchased merchandise for cash $1,400. 15 Received $200 refund for return of poor-quality merchandise from supplier on cash purchase. 17 Purchased merchandise on account from Valley Distributors for $1,300, terms 2/10, n/30,FOB shipping point. 19 Paid freight on May 17 purchase $200. 24 Sold merchandise for cash $3,100. The merchandise sold had a cost of $2,300. 25 27 29 31 Purchased merchandise on account from Lumley, Inc. for $600, terms 2/10, n/30. Paid Valley Distributors in full, less discount. Made refunds to cash customers for returned merchandise $70. The returned merchandisecost $20. Sold merchandise on account for $1,000 terms n/30. The cost of the merchandise sold was $600. Sandhill Hardware's chart of accounts includes the following: No. 101 Cash, No. 112 Accounts Receivable, No. 120 Inventory, No. 126 Supplies, No. 201 Accounts Payable, No. 301 Owner's Capital, No. 401 Sales Revenue. No. 412 Sales Returns and Allowances. No. 414 Sales Discounts, and No. 505 Cost of Goods Sold. Cash No. 101 Date Explanation Ref. Debit Credit Balance Balance > > J1 J1 J1 J1 J1 31 01 J1 Accounts Receivable Date No. 112 Explanation Ref. Debit Credit Balance J1 J1 Inventory No. 120 Date Explanation Ref. Debit Credit Balance > < > 31 01 31 31 31 J1 01 01 31 31 J1 31 J1 11 31 J1 Supplies No. 126 Date Explanation Ref. Debit Credit Balance 31 Accounts Payable No. 201 Date Explanation Ref. Debit Credit Balance 01 J1 J1 J1 31 31 = Owner's Capital No. 301 Date Explanation Ref. Debit Credit Balance Balance Sales Revenue No. 401 Date Explanation Ref. Debit Credit Balance 01 31 11 Sales Returns and Allowances No. 412 Date Explanation Ref. Debit Credit Balance 31 Sales Discounts No. 414 Date Explanation Ref. Debit Credit Balance 31 Cost of Goods Sold Date No. 505 Explanation Ref. Debit Credit Balance J1 31 31 01