The Jewel Box purchases jewellery from around the world and sells to local retailers in Canada. Consider the following perpetual system merchandising transactions of The Jewel Box. Use a separate account for each receivable and payable; for example, record the purchase on August 1 in Accounts PayableLuu Company. Aug. 1 Purchased necklaces from Luu Company for $3,200 under credit terms of 1/10, n/30, FOB destination. 4 At Luu Companys request, paid $270 for freight charges on the August 1 purchase, reducing the amount owed to Luu. 5 Sold rings to Green Ruby for $3,320 under credit terms of 3/10, n/60, FOB destination. The merchandise had cost $2,070. 8 Purchased bracelets from Jane Co. for $4,400 under credit terms of 1/10, n/45, FOB shipping point. 9 Paid $245 shipping charges related to the August 5 sale to Green Ruby. 10 Green Ruby returned the rings purchased from the August 5 sale that had cost $360 and been sold for $720. The merchandise was restored to inventory. 12 After negotiations with Jane Co. concerning problems with the merchandise purchased on August 8, received a credit memo from Jane granting a price reduction of $300. 15 Received balance due from Green Ruby for the August 5 sale. 17 Purchased office equipment from WestCo on credit, $5,200, n/45. 18 Paid the amount due Jane Co. for the August 8 purchase. 19 Sold earrings to Chic Jewellery for $2,700 under credit terms of 1/10, n/30, FOB shipping point. The merchandise had cost $1,170. 22 Chic Jewellery requested a price reduction on the August 19 sale because the merchandise did not meet specifications. Sent Chic Jewellery a credit memo for $300 to resolve the issue. 29 Received Chic Jewellerys payment of the amount due from the August 19 purchase. 30 Paid Luu Company the amount due from the August 1 purchase. Prepare General Journal entries to record the above transactions. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

• 1

  Record the purchased goods; terms 1/10, n/30, FOB destination.

• 2

  Record the paid freight for Luu Company.

• 3

  Record the sold goods; 3/10, n/60, FOB destination.

• 4

  Record the cost of the August 5 sale.

• 5

  Record the purchased goods; 1/10, n/45, FOB shipping point.

• 6

  Record the shipping charges paid on August 5 sale.

• 7

  Record the sales returned by customer.