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Exercise 4-3 Recording purchases, purchases returns, and purchases allowances LO P1 Prepare journal entries to record the following transactions for a retail store. The company uses a perpetual inventory system and the gross method. Apr. 2 Purchased $3,400 of merchandise from Lyon Company with credit terms of 2/15, n/60, invoice dated April 2, and FOB shipping point. 3 Paid $290 cash for shipping charges on the April 2 purchase. 4 Returned to Lyon Company unacceptable merchandise that had an invoice price of $600. 17 Sent a check to Lyon Company for the April 2 purchase, net of the discount and the returned merchandise. 18 Purchased $6,100 of merchandise from Frist Corp. with credit terms of 1/10, n/30, invoice dated April 18, and FOB destination. 21 After negotiations, received from Frist a $500 allowance toward the $6,100 owed on the April 18 purchase. 28 Sent check to Frist paying for the April 18 purchase, net of the allowance and the discount. Apr 1918 Spurchase annet towards the Swance and the discount. 18 purci View transaction list Journal entry worksheet 2 3 4 5 6 7 Purchased $3,400 of merchandise from Lyon Company with credit terms of 2/15, n/60, invoice dated April 2, and FOB shipping point. Note: Enter debits before credits. Date General Journal Debit Credit Apr 02 Record entry Clear entry View general journal View transaction list Journal entry worksheet 1 3 4 5 6 7 Paid $290 cash for shipping charges on the April 2 purchase. Note: Enter debits before credits. Date General Journal Debit Credit Apr 03 Record entry Clear entry View general journal View transaction list Journal entry worksheet

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