Presented here are selected transactions for Oriole Inc. during August of the current year. Oriole uses a perpetual inventory system. It

estimates a return rate of $12\%,$ based on past experience.

Aug. $1$ Purchased supplies for $$4,000$ cash.

$3$ Purchased inventory on account from Kenliwa Corp. at a cost of $$37,000,$ terms $\frac{2}{20},\frac{n}{45},$ FOB shipping point.

$4$ Freight charges of $$1,400$ were paid by the appropriate party on the August $3$ inventory purchase.

$6$ Sold goods costing $$11,000$ to Penkwa Limited for $$27,500$ on account, terms n$/30,$ FOB destination.

$7$ Freight charges of $$600$ were paid by the appropriate party on the August $6$ sale of inventory.

$9$ Returned damaged goods costing $$2,500$ that were originally purchased from Kenliwa on September $3.$ Received a

credit on account.

$10$ Purchased equipment on account for $$48,500,$ terms n$/45,$ FOB destination.

$11$ Freight charges of $$700$ were paid by the appropriate party on the August $10$ purchase of equipment.

$13$ Purchased inventory for $$3,900$ cash.

$15$ Received the balance due from Penkwa.

$22$ Paid Kenliwa the balance due.

$26$ Sold inventory costing $$13,000$ to Makoons Inc. for $$26,000$ on account, terms n$/45,$ FOB shipping point.

$27$ Freight charges of $$750$ were paid by the appropriate party on the August $26$ sale of inventory.

$30$ Makoons returned goods sold for $$1,100$ that cost $$550.$ The merchandise was restored to inventory.