Journalize the following transactions assuming a perpetual inventory system.:

May 5

Purchased merchandise from Archie Co., $6,000, terms FOB shipping point, 2/10, n/30.

Prepaid freight costs of $100 were added to the invoice.

May 12

Issued a debit memo to Archie Co., for $2,500 of merchandise returned from purchase on May 5th.

May 14

Paid Archie Co. for invoice of May 5, less debit memo of May 12 and discount.

Journal

Date

Description

Post Ref

Debit

Credit