Journalizing purchase and sales transactions—perpetual system
The following transactions occurred during February 2012, for Soul Art Gift Shop:
3-Feb Purchased $2,700 of inventory on account under terms of 4/10, n/eom (end of month) and FOB shipping point.
7 Returned $400 of defective merchandise purchased on February 3.
9 Paid freight bill of $110 on February 3 purchase.
10 Sold inventory on account for $4,350. Payment terms were 2/15, n/30. These goods cost the company $2,300
12 Paid amount owed on credit purchase of February 3, less the return and the discount.
16 Granted a sales allowance of $500 on the February 10 sale.
23 Received cash from February 10 customer in full settlement of her debt, less the allowance and the discount.
Requirement
1. Journalize the February transactions for Soul Art Gift Shop. No explanations are required.