Problem Chapter 5 (22 points) Prepare journal entries to record the following merchandising transactions for Cabela's, which uses the perpetual inventory system and gross method. Hint: It will help to identify each receivable and payable. 1. July 1 Purchased merchandise from Boden Company for $6000 under credit terms of 2/10, n/30, FOB shipping point, invoice dated July 1. 2. July 2 Sold merchandise to Creek Co. for $900 under credit terms of 2/10 net/60, FOB shipping point, invoice dated July 2. Merchandise had a cost of $500. 3. July 3 Paid $125 cash for freight charges on the purchase of July 1. 4. July 8 Sold merchandise that had a cost of $1300 for $1700 cash. 5. July 9 Purchased merchandise from Leight Co. for $2200 under credit terms of 2/15, n/60, FOB destination, invoice dated July 9. 6. July 11 Returned $200 of merchandise purchased on July 9 from Leight Co. and debited its account payable for that amount. 7. July 12 Received balance due from Creek Co. for the invoice dated July 2, net of the discount. 8. July 16 Paid the balance due to Boden Company within the discount period. 9. July 24 Paid Leight Co. the balance due, net of discount