To answer Part A & B of this question, you need to refer to the following (1) chart of accounts and (2) use gross method to record purchase of merchandise. (1) Chart of Account 1. Accounts Payable 2. Accounts Receivable 3. Cash 4. Cost of Goods Sold 5. Freight In 6. Freight Out 7. Inventory 8. Purchase 9. Purchase Discounts 10. Purchase Returns and Allowances 11. Sales Discounts 12. Sales Revenue 13. Sales Returns and Allowances (2) Gross method is a method of recording purchases, which initially records at full invoice price ignoring any cash discounts Part B Coffee Art Supply uses a periodic inventory system. The company had the following transactions during August, 2021. Prepare journal entries to record these transactions. (4 marks) Aug. 5 Aug. 9 Coffee Art Supply purchased $5,800 of merchandise on account, credit term was 3/10, net 45. Aug 5 purchase in cash Coffee Art Supply paid transportation costs of $880 for the Aug. 10 Aug. 18 Coffee Art Supply returned $1,200 of defective merchandise that had been purchased on Aug. 5. Coffee Art Supply paid for the merchandise purchased on Aug 5