On 28 February 2025, Darwin-based entity, HandsFree Partners, had inventory of 480 phones at a total cost of $134 400. The business maintains a perpetual inventory system. The following transactions occurred during March 2025.

Required

(a) Prepare journal entries for the above transactions for the month of March 2025 for HandsFree Partners.

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March 2 89 Purchased 280 phones on credit for $280 each from Sutherland Electronics, DDP Darwin, terms 2/10, n/30. Sutherland Electronics also made a cash payment of $150 for freight on this date. 5 Sold 325 phones on credit to Phone Phanatics for $650 each. Received $1680 credit for 6 damaged phones returned to Sutherland Electronics. 11 18 20 100 24 Paid Sutherland Electronics in full, less discount. Received payment in full from Phone Phanatics. Sold 60 phones on credit to Kingsford Phones for $620 each; terms 2/10, n/30. Purchased 80 phones on credit for $280 each from Oakhurst International, DDP Melbourne, terms 2/15, n/30. Oakhurst International also made a cash payment of $160 for freight on this date. Received payment in full from Kingsford Phones, less discount. 26 Paid Oakhurst International in full, less discount. 225 29 31 Sold 98 phones on credit to Hinchinbrook Phone Shop for $650 each. Granted Hinchinbrook Phone Shop $4550 credit for 7 phones returned, which cost $1960. HandsFree Partner's chart of accounts contained the following accounts: Cash at Bank, Sales, Accounts Receivable, Discount Allowed, Inventory, Sales Returns and Allowances, Accounts Payable, Cost of Sales, Discount Received.