Problem $5\mathrm{.}1$

Ready$-$Set$-$Go distributes suitcases to retail stores and extends credit terms of $\frac{1}{10},\frac{n}{30}$ to all of its customers. At the end of June, Ready$-$Set$-$Go's inventory consisted of suitcases costing $1,200.$ During the month of July, the following merchandising transactions occurred.

July $1$ Purchased suitcases on account for $1,620$ from Trunk Manufacturers, FOB destination, terms $2/10,\frac{n}{30}.$ The appropriate party also made a cash payment of $100$ for freight on this date.

$3$ Sold suitcases on account to Satchel World for $2,200.$ The cost of suitcases sold was $1,400.$

$9$ Paid Trunk Manufacturers in full.

$12$ Received payment in full from Satchel World.

$17$ Sold suitcases on account to Lady GoGo for $1,400.$ The cost of the suitcases sold was $1,030.$

$18$ Purchased suitcases on account for $1,900$ from Holiday Manufacturers, FOB shipping point, terms $\frac{1}{10},\frac{n}{30}.$ The appropriate party also made a cash payment of $125$ for freight on this date.

$20$ Received $300$ credit $($including freight$)$ for suitcases returned to Holiday Manufacturers.

$21$ Received payment in full from Lady GoGo.

$22$ Sold suitcases on account to Vagabond for $2,400.$ The cost of suitcases sold was $1,350.$

$30$ Paid Holiday Manufacturers in full.

$31$ Granted Vagabond $200$ credit for suitcases returned costing $120.$

Ready$-$Set$-$Go's chart of accounts includes the following: No$.101$ Cash, No$.112$ Accounts Receivable, No$.120$ Inventory, No$.201$ Accounts Payable, No$.401$ Sales Revenue, No$.412$ Sales Returns and Allowances, No$.414$ Sales Discounts, and No$.505$ Cost of Goods Sold.

Instructions

Journalize the transactions for the month of July for Ready$-$Set$-$Go using a perpetual inventory system.