The Majid Company is a merchandiser located in the UAE. The company has merchandise inventory valued at AED 200,000 and applies the perpetual inventory system. In July the Company had the following transacuons. July 2 Sold merchandise to Favez Company for AED 9.000 under credit terms of 2/10 net bu. The merchandise had a cost of AED 5,000. Sold merchandise that had a cost of AED 14,000 for AED 17,000 cash. Collected the amount from the sale to Fayez Company less the discount. July 19 Sold merchandise to Ismat Co. for AED 12,000 under credit terms 4/15 net 60 with a cost of AED 8,000 July 25 Received 60% of the invoice amount (AED 12,000) owed by Ismat Co. July 28 Sold merchandise to Fayez Company for AED 70,000 at a cost of AED 48,000. July 30 Collected the remaining 40% balance from Ismat Co. July 31 Collected 30% of the amount owed by Fayez Company. Required: 1. Prepare journal entries to record the above transactions 2. What is the balance of inventory