E$5\mathrm{.}7($LO $23)$ AN The following transactions were recorded by an inexperlenced bookkeeper during the months of June and July for JllyBean Company. Ulluxeen Company uses a perpetual inventory system. Record correct inventory transactions$-$perpetual system and earnings approach.

June $10$ A purchase of $$4,000$ of merchendlse from RapRap Distributors was debited to Purchases and credlited to Cash. The terms of the purchase were $\frac{2}{10},\frac{n}{30},$FOB shipping point.

$11$ The invoice for freight in the amount of $$225$ for the dellivery of merchandise purchased from DawPan was paid and was deblted to Dellvery Expense.

$12$ Damaged goods totelltuas $$200$ were returned to QawPan Distributors for credit. The bookteeper recorded a debit to Accounts Recelvable and a credit to Sales Returns and Allowances.

$20$ A payment was made to Raulan Distributors for the lune $10$ purchase. The payment was a debit to Purchases and a credit to Cash.

July $15$

IITreans sold goods for $$9,275$; Sales was credited and Cost of Goods Sold was debited for this amount. The cost of the inventory sold was $$3,800.$ The terns of the sale were $\frac{1}{15},\frac{n}{30},$FOB destination.

$15$ Freight charges on the above transaction were debited to Accounts Recelvable and credited to Cash for $$175.$ The bookkeeper believed the customer had to pay for the fireight charges.

$17$ the allowance was a debit to Sales and a credit co Sales Retums and Allowances.

Instrutions

a Review cach transaction above and indicate whether you agree or disagree with how the bookkeeper accounted for the transaction,

B$.$ If you disagreed with any of the accounting entries above, prepare the cerrect entiny.