Selected transactions follow for Discovery Sports Ltd. during the company's first month of business. The company expects a return rate of 8% and uses a perpetual inventory system. Feb. 2 4 5 8 10 Sold $ 1,140 of merchandise to Andrew Noren on account, terms n/30. The goods had cost Discovery $ 765. Andrew Noren returned for credit $ 90 of the merchandise purchased on February 2. The goods had cost Discovery $ 60 and they were returned to inventory Sold $ 760 of merchandise to Dong Corporation on account, terms /30. The goods had cost Discovery $490. Sold $ 842 of merchandise to Michael Collins for cash. The goods had cost Discovery 5 622. Sold $ 920 of merchandise to Rank Kurji account, terms 1V30. The goods had cost Discovery $ 680. Dong Corporation paid its account in full. Andrew Noren purchased an additional $ 696 of merchandise on account, terms 1/30. The goods had cost Discovery $ 410 Sold $ 1.738 of merchandise to Batstone Corporation terms 1/30. The goods had cost Discovery $ 1,105 Andrew Noren paid $ 1.000 on account. 22 24 27 28 Date Account Titles and Explanation Debit Credit (To record sales (To record cost of goods sold) To record sales returns