Silver Line Transportation Purchased Inventory on Account for $20,000 on April

Essay

Silver Line Transportation purchased inventory on account for $20,000 on April 2,20X3.They use a periodic inventory system.The terms of the purchase were 3/10,n/45.Shipping was $800,FOB destination.On April 4,the inventory was inspected,and it was discovered that some was damaged.The seller granted Silver Line Transportation a $600 allowance.On April 11,Silver Line Transportation paid the appropriate amount.Prepare the journal entries for each of the events noted above.