The following supplementary records summarize Tesla Company's merchandising activities for year 2017 (it uses a perpetual inventory system). Set up T-accounts for Merchandise Inventory and Cost of Goods Sold. Then record the summarized activities in those T-accounts and compute account balances.
Cost of merchandise sold to customers in sales transactions ....................... $196,000
Merchandise inventory, December 31, 2016 .......................................... 25,000
Invoice cost of merchandise purchases, gross amount .............................. 192,500
Shrinkage determined on December 31, 2017 ....................................... 800
Cost of transportation-in ................................................................ 2,900
Cost of merchandise returned by customers and restored to inventory ........... 2,100
Purchases discounts received .......................................................... 1,700
Purchases returns and allowances ...................................................... 4,000