Prepare journal entries to record the following merchandising transactions of IKEA, which uses the perpetual inventory system and gross method.

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May 2 4 5 9 10 12 Purchased merchandise from Havel Co. for $10,000 under credit terms of 115, 30, FOB shipping point, invoice dated May 2. Sold merchandise to Rath Co. for $11,000 under credit terms of 2/10, n60, FOB shipping point, invoice dated May 4. The merchandise had cost $5,600. Paid $250 cash for freight charges on the purchase of May 2. Sold merchandise that had cost $2,000 for $2,500 cash. Purchased merchandise from Duke Co. for $3,650 under credit terms of 2/15, n60, FOB destination, invoice dated May 10. Returned $650 of merchandise purchased on May 10 from Duke Co. and debited its account payable for that amount.