Sheridan Corporation uses a periodic inventory system and the gross method of accounting for purchase discounts.

$($a$)$ On July $1,(1)$ Sheridan purchased $$77,000$ of inventory, terms $\frac{2}{10},\frac{n}{30},$ FOB shipping point. $(2)$ Sheridan paid freight costs of $$1,111.$

$($b$)$ On July $3,$ Sheridan returned damaged goods and received credit of $$7,700.$

$($c$)$ On July $10,$ Sheridan paid for the goods.