Set E Merchandising Concern Activity Two close friends, Stanley Cruz and Orly Ramirez, formed Storly Grocers on August 1, 2021. On its first month of operation, hereunder are its transactions: Aug 1 On this date, Cruz contributed cash amounting to P300,000 while Ramirez contributed merchandise valued at P125,000 and store furniture valued at P25,000. 1 Purchased merchandise from Abilene Company for P60,000 under credit term of 1/10, n/30, FOB destination, invoice dated August 1. 2 Paid 5 months store rental for P20,000. 4 At Abilene's request, Storly paid P1,000 cash for freight charges on the August 1 purchase reducing the amount owed to Abilene. 5 Sold merchandise to Lux Corp. for P42,000 under credit terms of 2/10, n/60, FOB destination, invoice dated August 5. 6 Purchased office equipment for cash, P55,000. 8 Purchased merchandise from Welch Corporation for P53,000 under the credit terms of 1/10, n/45, FOB shipping point, invoice dated August 8. The invoice showed that at Storly's request, Welch paid the P2,400 shipping charges and added the amount to the bill. 9 Paid P1,200 cash for shipping charges related to the August 5 sale to Lux Corp. 10 Lux returned merchandise from the August 5 sale for P7,000. 11 Purchased office supplies on account from Bookish Co., terms n/30, P6,400. 12 After negotiations with Welch Corporation concerning problems with the merchandise purchased on August 8, Storly received a credit memorandum from Welch granting a price reduction of P8,000. 13 Purchase merchandise for cash, P10,000. 15 Paid salaries for the month, P16,500. 15 Received balance due from Lux Corp. 18 Paid the amount due to Welch Corporation. 19 Sold merchandise to Trax for P36,000 under credit terms of 1/10, n/30, FOB shipping point, invoice dated August 19. 20 Sold merchandise for cash, P22,000. 22 Trax requested a price reduction on the August 19 sale because the merchandise did not meet specification. Storly sent Trax a P6,000 credit memorandum to resolve the issue. 26 Paid utilities for the month, P3,900. 29 The two partners decided to withdraw money for personal use: Cruz for P10,000 and Ramirez for P5,000. 29 Received Trax's cash payment for the amount due from the August 19 purchase. 30 Paid Abilene Company the amount due from the August 1 purchase. Required: 2. Record the transactions in the special and general journals