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[The following information applies to the questions displayed below.] Hair World Inc. is a wholesaler of hair supplies. Hair World uses a perpetual inventory system.

[The following information applies to the questions displayed below.]

Hair World Inc. is a wholesaler of hair supplies. Hair World uses a perpetual inventory system. The following transactions (summarized) have been selected for analysis:

a. Sold merchandise for cash (cost of merchandise $30,797). $55,200
b.

Received merchandise returned by customers as unsatisfactory (but in perfect condition), for cash refund (original cost of merchandise $390).

650
c. Sold merchandise (costing $5,225) to a customer, on account with terms 2/10, n/30. 11,000
d. Collected half of the balance owed by the customer in (c) within the discount period. 5,390
e. Granted a partial allowance relating to credit sales that the customer in (c) had not yet paid 176

7.

value: 2.00 points

Required information

Required:
1.

Compute Sales Revenue, Net Sales, and Gross Profit for Hair World.

2.Compute the gross profit percentage. (Round your answer to 1 decimal place.)

3. Record journal entries for transactions a-e

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