IThe following information applies to the questions displayed below At the beginning of July. CD City has a balance in inventory of $2.500 The following transactions occur during the month of July July 3 Purchase CDs on account from Wholesale Music for $1.400, terms 1/10, n/30 July 4 Pay cash for freight charges related to the July 3 purchase from Wholesale Music. $100 July 9 Return incorrectly ordered CDs to Wholesale Music and receive credit, $200 July 11 Pay Wholesale Music in full July 12 Sell CDs to customers on account, $4,000, that had a cost of $2,100 July 15 Receive full payment from customers related to the sale on July 12 July 18 Purchase CDs on account from Music Supply for $2,200, terms 1/10, n/30 July 22 Sell CDs to customers for cash, $3.300, that had a cost of $1,600 July 28 Return CDs to Music Supply and receilve credit of $120 July 30 Pay Music Supply in full. Required 1. Assuming that CD City uses a perpetual inventory system, record the transactions. (f no entry is required for a transaction/event, select" View transaction list Journal entry worksheet 1 2 3 4 56 7 8 12 Purchase CDs on account from Wholesale Music for $1,400, terms 1/10, n/30. Note: Enter debits before credits Date General Journal Debit Credit July 03 Record entry Clear entry View general journal 2. Prepare the top section of the multiple-step income statement through gross profit for the month of July. CD CITY Multiple-step Income Statement (partial) For the month of July