Sydney Retailing $($buyer$)$ and Troy Wholesalers $($seller$)$ enter into the following transactions.

May $11$ Sydney accepts delivery of $$23,500$ of merchandise it purchases for resale from Troy: invoice dated May $11$; terms $3/10,$ n$/90$; FOB shipping point. The goods cost Troy $$15,745.$ Sydney pays $$365$ cash to Express Shipping for delivery charges on the merchandise.

$12$ Sydney returns $$1,100$ of the $$23,500$ of goods to Troy, who receives them the same day and restores them to its inventory. The returned goods had cost Troy $$737.$

$20$ Sydney pays Troy for the amount owed. Troy receives the cash immediately.