On October 14, the Henry Company sold merchandise with an invoice price of \(\$ 1,300\) ( \(\$ 750\) cost) with terms of \(1 / 10, \mathrm{n} / 30\), to the Baxter Company. On October \(18, \$ 300\) of merchandise ( \(\$ 175\) cost) was returned because it was the wrong size. On October 24, the Henry Company received a check for the amount due from the Baxter Company.

Required 

Prepare the journal entries for the Henry Company using the perpetual inventory system.