Reference no: EM133086009

Question - North Wave Products has provided you with the following transactions for the month of February 2019.

Feb 8 Purchased $215,200 of inventory on account, terms 2/10, net 30

Feb 10 A portion of the inventory from the above purchase was defective. NorthWave returned $400 worth of inventory to the supplier.

Feb 12 Sold $104,600, of products to SouthShore on account, terms 2/10, net 30; cost of goods sold was $41,840 for this transaction.

Feb 14 Customer from Feb 12 purchase paid their amount owing and claimed their discount.

Feb 21 A customer returned $1,280 of goods purchased on account. The cost of goods sold for the returned inventory is $768.

Feb 22 Purchased goods from EastCoast Products on account for $19,900 with terms of 3/10, net 30.

Feb 23 Made a cash sale of $8,100 The cost of goods sold for this transaction was $4,860.

Feb 25 Took advantage of discount offered and paid up amount owing to EastCoast Products from Feb 22 purchase.

Required - Prepare the journal entries to record the above transactions. Assume the company uses the perpetual inventory system.