July 1 Purchased merchandise from Boden Company for $6,300 under credit terms of 2/15, n/30, FOB shipping point, invoice dated July 1.
2 Sold merchandise to Creek Co. for $1,000 under credit terms of 2/10, n/60, FOB shipping point, invoice dated July 2. The merchandise had cost S567.
3 Paid $115 cash for freight charges on the purchase of July 1.
8 Sold merchandise that had cost $2, 100 for $2, 500 cash.
9 Purchased merchandise from Light Co. for $2, 700 under credit terms of 2/15, n/60, FOB destination, invoice dated July 9.
11 Received a $700 credit memorandum from Light Co. for the return of part of the merchandise purchased on July 9.
12 Received the balance due from Creek Co. for the invoice dated July 2, net of the discount.
16 Paid the balance due to Boden Company within the discount period.
19 Sold merchandise that cost $1,000 to Art Co. for $1, 500 under credit terms of 2/15, n/60, FOB shipping point, invoice dated July 19.
21 Issued a $250 credit memorandum to Art Co. for an allowance on goods sold on July 19.
24 Paid Leight Co. the balance due after deducting the discount.
30 Received the balance due from Art Co. for the invoice dated July 19, net of discount.
31 Sold merchandise that cost $5, 600 to Creek Co. for $7, 500 under credit terms of 2/10, n/60, FOB shipping point, invoice dated July 31.

Required:
Prepare journal entries to record the above merchandising transactions of Blink Company, which applies the perpetual inventory system.

July 2 Sold merchandise to Creek Co. for $1,000 under credit terms of 2/10, n/60, FOB shipping point, invoice dated July 2. The merchandise had cost S567.

Dr Accounts receivable 1,000

Cr Sales revenue 1,000

Dr Cost of goods sold 567

Cr Merchandise inventory 567

July 3 Paid $115 cash for freight charges on the purchase of July 1.

Dr Merchandise inventory 115

Cr Cash 115

July 8 Sold merchandise that had cost $2, 100 for $2, 500 cash.

Dr Cash 2,500

Cr Sales revenue 2,500

Dr Cost of goods sold 2,100

Cr Merchandise inventory 2,100

July 9 Purchased merchandise from Light Co. for $2, 700 under credit terms of 2/15, n/60, FOB destination, invoice dated July 9.

Dr Merchandise inventory 2,700

Cr Accounts payable 2,700

July 11 Received a $700 credit memorandum from Light Co. for the return of part of the merchandise purchased on July 9.

Dr Accounts payable 700

Cr Merchandise inventory 700

July 12 Received the balance due from Creek Co. for the invoice dated July 2, net of the discount.

Dr Cash 980

Dr Sales discounts 20

Cr Accounts receivable 1,000

July 16 Paid the balance due to Boden Company within the discount period.

Dr Accounts payable 6,300

Cr Cash 6,174

Cr Purchase discounts 126

July 19 Sold merchandise that cost $1,000 to Art Co. for $1, 500 under credit terms of 2/15, n/60, FOB shipping point, invoice dated July 19.

Dr Accounts receivable 1,500

Cr Sales revenue 1,500

Dr Cost of goods sold 1,000

Cr Merchandise inventory 1,000

July 21 Issued a $250 credit memorandum to Art Co. for an allowance on goods sold on July 19.

Dr Sales returns and allowances 250

Cr Accounts receivable 250

July 24 Paid Leight Co. the balance due after deducting the discount.

Dr Accounts payable 2,000

Cr Cash 1,960

Cr Purchase discounts 40

July 30 Received the balance due from Art Co. for the invoice dated July 19, net of discount.

Dr Cash 1,225

Dr Sales discounts 25

Cr Accounts receivable 1,250

July 31 Sold merchandise that cost $5, 600 to Creek Co. for $7, 500 under credit terms of 2/10, n/60, FOB shipping point, invoice dated July 31.

Dr Accounts receivable 7,500

Cr Sales revenue 7,500

Dr Cost of goods sold 5,600

Cr Merchandise inventory 5,6000