The beginning account balances for Terrys Auto Shop as of January 1, Year 2, follow: Account Titles Beginning Balances Cash $ 6,140 Inventory 3,120 Common Stock 7,380 Retained Earnings 1,880 The following events affected the company during the Year 2 accounting period: Purchased merchandise on account that cost $4,140. The goods in Event 1 were purchased FOB shipping point with transportation cost of $230 cash. Returned $435 of damaged merchandise. Agreed to keep other damaged merchandise for which the company received a $260 allowance. Sold merchandise that cost $2,570 for $4,750 cash. Delivered merchandise to customers in Event 5 under terms FOB destination with transportation costs amounting to $180 cash. Paid $2,970 on the merchandise purchased in Eve