Problem 2 (9 points) ABC Company had the following transactions during the year. Assume that perpetual inventory system is used.

5 Jan 2021 Purchased a merchandise on account from XYZ for $77,000, terms FOB destination, 3/10, n/30

22 Feb 2021 Sold merchandise for cash $46,000 to DOF. The cost of the merchandise sold was $31,000

13 March 2021 Purchased inventory on account from KMG for $32,000, terms FOB shipping point 1/15, n/30 with prepaid freight of $600

1 April 2021 Returned $17,000 of merchandise purchased on 5 Jan 2021 receiving full credit

3 May 2021 Received 25% of sales from DOF

1 June 2021 Paid $15,000 to KMG

7 July Paid VISA service fees of $2,570

Requirement: Journalize each transaction

For each of the following cases determine the ending balance in the inventory account. (hint: first, determine the total cost of inventory available for sale. next, subtract the cost of the inventory sold to arrive at the ending balance.)a. jill’s dress shop had a beginning balance in its inventory account of $40,000. during the accounting period jill’s purchased $75,000 of inventory, returned $5,000 of inventory, and obtained $750 of purchases discounts. jill’s incurred $1,000 of transportation-in cost and $600 of transportation-out cost. salaries of sales personnel amounted to $31,000. administrative expenses amounted to $35,600. cost of goods sold amounted to $82,300.b. ken’s bait shop had a beginning balance in its inventory account of $8,000. during the accounting period ken’s purchased $36,900 of inventory, obtained $1,200 of purchases allowances, and received $360 of purchases discounts. sales discounts amounted to $640. ken’s incurred $900 of transportation-in cost and $260 of transportation-out cost. selling and administrative cost amounted to $12,300. cost of goods sold amounted to $33,900.a& b. cost of goods avaliable for sale? ending inventory?