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

May $11$ Sydney accepts delivery of $$33,000$ of merchandise it purchases for resale from Troy: invoice dated May $11,$ terms $\frac{3}{10},$ n$/90,$

FOB shipping point. The goods cost Troy $$22,110.$ Sydney pays $$510$ cash to Express Shipping for delivery charges on the

merchandise.

May $12$ Sydney returns $$2,000$ of the $$33,000$ of goods to Troy, who receives them the same day and restores them to its inventory.

The returned goods had cost Troy $$1,340.$

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

Assume that both buyer and seller use a periodic inventory system and the gross method.

Prepare journal entries that Sydney Retailing $($buyer$)$ records for these three transactions.

Prepare journal entries that Troy Wholesalers $($seller$)$ records for these three transactions.

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Prepare journal entries that Sydney Retailing $($buyer$)$ records for these three transactions.

Journal entry worksheet

Sydney accepts delivery of $$33,000$ of merchandise it purchases for resale

from Troy: invoice dated May $11,$ terms $\frac{3}{10},\frac{n}{90},$ FOB shipping point. The

goods cost Troy $$22,110.$ Record Sydney's entry for this transaction.

Note: Enter debits before credits.