The subsequent are selected 2012 transactions of darby

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The subsequent are selected 2012 transactions of Darby Corporation.

1st Sept purchased inventory from Orion Company on account for $54,050. Darby records purchases gross and uses periodic inventory system.

1st Oct Issued a $54,050, 12-month, 8 percent note to Orion in payment of account.

1st Oct Borrowed $82,770 from the Shore Bank by signing a 12-month, zero-interest-bearing $89,010 note.

(a) Create journal entries for selected transactions.

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