Prepare journal entries to record each of the following sales transactions of EcoMart Merchandising. EcoMart uses a perpetual inventory system and the gross method.
Oct. 1: Sold fair trade merchandise for $2,600, with credit terms n/30; invoice dated October 1. The cost of the merchandise is $1,450.
Oct. 6: The customer in the October 1 sale returned $260 of fair trade merchandise for full credit. The cost of the returned merchandise is $145, which is returned to inventory. The net cost of the merchandise is $890.
Oct. 9: Sold recycled leather merchandise for $1,250, with credit terms 1/10, n/30; invoice dated October 9.
Oct. 11: Received payment for the amount due from the October 1 sale less the return on October 6.