The following merchandise transactions occurred in December. Both companies use a perpetual inventory system.

Dec.	3		Culver Ltd. sold goods to Pronghorn Corp. for $72,600, terms n/15, FOB shipping point. The inventory had cost Culver $38,600. Culvers management expected a return rate of 3% based on prior experience.
	7		Shipping costs of $1,000 were paid by the appropriate company.
	8		Pronghorn returned unwanted merchandise to Culver. The returned merchandise has a sales price of $2,240, and a cost of $1,200. It was restored to inventory.
	11		Culver received the balance due from Pronghorn.