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following merchandising transactions in the month of May. At the beginning of May, Winters' led Common Stock of $8,000. 1 Purchased merchandise on account from Black Wholesale May terms 1/10, n/30. 2 Sold merchandise on account for $4,400, terms 2/10, n/30 chandise sold was $3,300. 5 Received credit from Black Wholesale Supply for m 9 Received collections in full, less discounts, from 10 Paid Black Wholesale Supply in full, less discount, 11 Purchased supplies for cash $900. 12 Purchased merchandise for cash $3,100 15 Received $230 refund for return of poor-quality merchandise from supplier on customers billed on May 2. cash purchase. 17 Purchased merchandise from Wilhelm Distributors for $2,500, terms 2/10, n/30. 19 Paid freight on May 17 purchase $250. 24 Sold merchandise for cash $5,500. The cost of the merchandise sold was $4,100. 25 Purchased merchandise from Clasps Inc. for $800, terms 3/10, n/30. 27 Paid Wilhelm Distributors in full, less discount. 29 Made refunds to cash customers for returned merchandise $124. The returnecd merchandise had cost $90. Sold merchandise on account for $1,280, terms n/30. The cost of the merchan- dise sold was $830. 31 Winters Hardware's chart of accounts includes Cash, Accounts Receivable, Inventory, Supplies, Accounts Payable, Common Stock, Sales Revenue, Sales Returns and Allowances, Discounts, and Cost of Goods Sold. Sales Instructions (a) Journalize th (b) Post the transactions to Taccounts. Be sure to enter the beginning e transactions using a perpetual inventory system. cash and common stock balances (c) Prepare an income statement through gross profit for the (d) Calculate the profit margin and the gross profit rate. (AsSU oht for the month of May 2017 $1,400.)

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