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CoursHeroTranscribedText: ___'__. __ _.___....__.___ {The following information applies to the questions displayed below} Allied Merchandisers was organized on May 1. Macy Company is a major customer {buyer} of Allied [seller] products. May 3 Allied made its first and only purchase of inventory for the period on May 3 for 2,888 units at a price of 59 cash per unit (for a total cost of $18,888). May 5 Allied sold 1,888 of the units in inventory for $13 per unit (invoice total: $13,688) to Macy Company under credit terms 2!18, m'E-8. The goods cost Allied $9,888. May 7 Macy returns 188 units because they did not fit the customer's needs (invoice amount: $1,388). Allied restores the units, which cost $980, to its inventory. May 8 Macy discovers that 188 units are scuffed but are still of use and, therefore, keeps the units. Allied gives a price reduction (allowance) and credits Macy's accounts receivable for $588 to compensate for the damage. May 15 Allied receives payment from Macy for the amount owed on the May 5 purchase; payment is net of returnsJ allowances, and any cash discount. Prepare journal entries to record the following transactions for Allied assuming it uses a perpetual inventory system and the gross method. View h'nnsaction list Journal entry worksheet

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