Bill Diamond owns a business called Diamond Distributors. The following transactions took place during January of the current year. Journalize the transactions in a general journal using the periodic inventory method.

Jan. 5 Purchased merchandise on account from Prestigious Jewelers, $3,700.

8 Paid freight charge on merchandise purchased, $200.

12 Sold merchandise on account to Diamonds Unlimited, $4,900.

15 Received a credit memo from Prestigious Jewelers for merchandise returned, $600.

22 Issued a credit memo to Diamonds Unlimited for merchandise returned, $800.