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Oriole Company commenced operations on July 1. Oriole Company uses a periodic inventory system. During July, Oriole Company was involved in the following transactions and events:
July 2 Purchased $14,300 of merchandise from Suppliers Inc. on account, terms 2/10, n/30, FOB shipping point.3 Returned $1,200 of merchandise to Suppliers Inc. as it was damaged. Received a credit on account from Suppliers.4 Paid $510 of freight costs on July 2 shipment.8 Sold merchandise for $2,300 cash.11 Paid Suppliers Inc. the full amount owing.15 Sold merchandise for $6,000 on account, 1/10, n/30, FOB shipping point.25 Received full payment for the merchandise sold on July 15.31 Oriole did a physical count and determined there was $9,900 of inventory on hand.
Problem 1: Record the transactions in Oriole Company's books.
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