View Policies Current Attempt In Progress Sheridan Hardware Store completed the following merchandising transactions in the month of May. At the beginning of Mary, the ledger of Sheridanshowed Cash of $5,000 and Owner's Capital of $5.000. May 1 Purchased merchandise on account from Braun's Wholesale Supply $4,200, terms 2/10, 1/30 2 Sold merchandise on account $2,400 terms 1/10,1/30. The cost of the merchandise sold was $1.000 Received credit from Braun's Wholesale Supply for merchandise returned $250. Received collections in full, less discounts, from customers billed on sales of $2,400 on May 2 Paid Braun's Wholesale Supply in full, less discount Purchased supplies for cash $350 Purchased merchandise for cash $1,500. Received refund for poor quality merchandise from supplier on cash purchase $100. Purchased merchandise from Valley Distributors $1.400, FOB shipping point, terms 2/10, 1/30. Paid freight on May 17 purchase $180 Sold merchandise for cash $2,800. The merchandise sold had a cost of $2.000 25 Purchased merchandise on account from Lumley, Inc. $600. FOB destination, terms 2/10, 1/30 Paid Valley Distributors in full less discount Mede refunds to cash customers for defective merchandise 560. The returned merchandise had a fair value of 530 31 Sold merchandise on account $1.000, terms 1/30. The cost of the merchandise sold was 5600. 5 9 10 11 12 15 17 19 24 27 29 Sheridan Hardware's chart of accounts includes the following: No. 101 Cash, No. 112 Accounts Receivable. No 120 Inventory. No 126 Supplies, No. 201 Accounts Payable, No. 301 Owners Capital, No. 401 Sales Revenue, No. 412 Sales Returns and Allowances, No 414 Sales Discounts, and No. 505 Cost of Go (a) Journaitze the transactions using a perpetual inventory system (Credit account des are automatically indented when amount is entered. Do not indent manually. Recond journal entries in the order presented in the problem.) Debit Credit Date Account Titles and Explanation