Problem
On June 10, Ayayi Company purchased $8,900 of merchandise on account from Whispering winds company, FOB shipping point, terms 2/10, n/30. Ayayai pays the freight cost of $510 on June 11. Goods totaling $700 are returned to Whispering Winds for credit on June 12. On June 19, Ayayai pays Whispering Winds Company in full, less the discount. Both companies use a perpetual inventory system. Prepare separate entries for each transaction on the books of Ayayi Company.