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Sydney Retailing (buyer) and Troy Wholesalers (seller) enter into the following transactions May 11 Sydney accepts delivery of $26,500 of merchandise it purchases for resale

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Sydney Retailing (buyer) and Troy Wholesalers (seller) enter into the following transactions May 11 Sydney accepts delivery of $26,500 of merchandise it purchases for resale from Troy invoice dated May 11, terns 3/10, 1/90, FOB shipping point. The goods cost Troy $17,755, Sydney pays $320 cash to Express Shipping for delivery charges on the merchandise May 12 Sydney returns $1,300 of the $26, sen of goods to Troy, who receives then the same day and restores them to its inventory The returned goods had cost Troy $371. May 20 Sydney pays Troy for the amount owed. Troy receives the cash immediately. (Both Sydney and Troy use a perpetual inventory system and the gross method.) 1. Prepare journal entries that Sydney Retailing (buyer) records for these three transactions. 2. Prepare journal entries that Troy Wholesalers (seller) records for these three transactions Journal entry worksheet Sydney accepts delivery of $26,500 of merchandise it purchases for resale from Troy: invoice dated May 11, terms 3/10, n/90, FOB shipping point. The goods cost Troy $17,755. Record Sydney's entry for this transaction. Note: Enter debits before credits. Date General Journal Debit Credit May 11 Record entry Clear entry View general journal Journal entry worksheet 1 2 3 4 > Sydney pays $320 cash to Express Shipping for delivery charges on the merchandise. Record Sydney's entry for this transaction. Note: Enter debits before cred Date General Journal Debit Credit May 11 Record entry Clear entry View general Journal Journal entry worksheet Sydney returns $1,300 of the $26,500 of goods to Troy, who receives them the same day and restores them to its inventory. The returned goods had cost Troy $871. Record Sydney's entry for this transaction. Note: Enter debits before credits. Date General Journal Debit Credit May 12 Record entry Clear entry View general journal Journal entry worksheet

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