Reference no: EM132515531

Question - Mark's Music is a store that buys and sells musical instruments and uses a perpetual inventory system. Transactions for the business are shown below:

Nov. 2 Purchased two electric guitars from Fender Supply Limited, on account, at a cost of $850 each, terms 1/10, n/60.

Nov. 4 Made a cash sale of two keyboards for a total invoice price of $2,300. The cost of each keyboard was $900.

Nov. 5 Received a credit from Western Acoustic Inc. for the return of an acoustic guitar which was defective. The original invoice price was $425 and the guitar had been purchased on account.

Nov. 7 One of the keyboards from the cash sale of Nov. 4 was returned to the store for a full cash refund because the customer was not satisfied with the instrument.

Nov. 8 Purchased store supplies from a stationery store. Paid $225 for supplies.

Nov. 10 Sold one Omega trumpet to the Toronto Regional Band, on account, for an invoice price of $2,900. Terms are 1/10, n/60. The trumpet had cost Mark's Music $1,420.

Nov. 10 Made a payment on account for the amount owing to Fender Supply Limited for the purchase of Nov. 2.

Nov. 13 Purchased two saxophones from Yamaha Canada Inc. on account. The invoice price was $2,600 for each saxophone. Terms are 1/10, n/30.

Nov. 16 Returned to Yamaha Canada Inc. one of the saxophones purchased on Nov. 13, as it was the wrong model. Received a credit from Yamaha for the full purchase price.

Nov. 20 Received a cheque for the appropriate amount from Toronto Regional Band for the purchase of Nov. 10.

Nov. 22 Paid balance owing to Yamaha Canada Inc.

Required - Prepare the journal entries to record the Mark's Music transactions.