The following merchandise transactions occurred in December. Both companies use a perpetual inventory system. Dec. 3 Sandhill Company sold merchandise to Wildhorse Co, for $37,000, terms 2/10,n/30,FOB destination. This merchandise cost Sandhill Company $18,000. 4 The correct company paid freight charges of $775. 8 Wildhorse Co. returned unwanted merchandise to Sandhill. The returned merchandise had a sale price of $2,000 and a cost of $990. It was restored to inventory. 13 Sandhill Company received the balance due from Wildhorse Co. (a) Prepare the journal entries to record these transactions on the books of Sandhill Company. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, seiect "No Entry" for the account titles and enter O for the arnounts. Recora journal entrnes in the order presented in the problem. List all debit entries before credit entries. Date Account Titles and Explanation Debit Credit (To record sales on account.) (To record cost of goods sold.) (To record cost of goods sold.) (To record credit for goods returned.) I (To record cost of goods returned.)