Reference no: EM132557057

Question - Crane Hardware Store completed the following merchandising transactions in the month of May. At the beginning of May, Cranes' ledger showed Cash of $7,100 and Common Stock of $7,100.

May 1Purchased merchandise on account from Black Wholesale Supply for $7,100, terms 1/10, n/30.2Sold merchandise on account for $3,500, terms 2/10, n/30. The cost of the merchandise sold was $2,400.5Received credit from Black Wholesale Supply for merchandise returned $200.9Received collections in full, less discounts, from customers billed on May 2.10Paid Black Wholesale Supply in full, less discount.11Purchased supplies for cash $900.12Purchased merchandise for cash $2,200.15Received $230 refund for return of poor-quality merchandise from supplier on cash purchase.17Purchased merchandise from Wilhelm Distributors for $1,600, terms 2/10, n/30.19Paid freight on May 17 purchase $250.24Sold merchandise for cash $5,500. The cost of the merchandise sold was $4,100.25Purchased merchandise from Clasps Inc. for $800, terms 3/10, n/30.27Paid Wilhelm Distributors in full, less discount.29Made refunds to cash customers for returned merchandise $163. The returned merchandise had cost $82.31Sold merchandise on account for $1,280, terms n/30. The cost of the merchandise sold was $882.

Required - Journalize the transactions using a perpetual inventory system.