Wildhorse Stores is a new company that started operations on March 1, 2021. The company has decided to use a perpetual Inventory system. The following purchase transactions occurred in March:
Mar. Wildhorse Stores purchases $9,000 of merchandise for resale from Octagon Wholesalers, terms 2/10, n/30, FOB
1 shipping point.
2 The correct company pays $175 for the shipping charges.
3 Wildhorse returns $1,100 of the merchandise purchased on March 1 because it was the wrong colour. Octagon gives Wildhorse a $1,100 credit on its account.
21 Wildhorse Stores purchases an additional $13,000 of merchandise for resale from Octagon Wholesalers, terms 2/10, n/30, FOB destination.
22 The correct company pays $180 for freight charges.
23 Wildhorse returns $500 of the merchandise purchased on March 21 because it was damaged. Octagon gives Wildhorse a $500 credit on its account
30 Wildhorse paid Octagon the amount owing for the merchandise purchased on March 1.
31 Wildhorse paid Octagon the amount owing for the merchandise purchased on March 21
