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Problem 6-3A Record transactions and prepare a partial income statement using a perpetual inventory system...

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Accounting

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Problem 6-3A Record transactions and prepare a partial income statement using a perpetual inventory system (L06-2, 6-5) [The following information applies to the questions displayed below) At the beginning of July, CD City has a balance in inventory of $2,500. The following transactions occur during the month of July. July 3 Purchase CDs on account from Wholesale Music for $1,400, terms 1/10, n/30. July 4 Pay cash for freight charges related to the July 3 purchase fron Wholesale Music, $100. July 9 Return incorrectly ordered CDs to Wholesale Music and receive credit, $200. July 11 Pay Wholesale Music in full. July 12 Sell CDs to customers on account, $4,000, that had a cost of $2,100. July 15 Receive full payment from customers related to the sale on July 12. July 18 Purchase CDs on account from Musie Supply for $2,200, terms 1/10, n/30. July 22 Sell cs to customers for cash, $3,300, that had a cost of $1,600. July 28 Return CDs to Music Supply and receive credit of $120. July 30 Pay Music Supply in full. ces Problem 6-3A Part 1 Required: 1. Assuming that CD City uses a perpetual inventory system, record the transactions. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.)

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