Merchandise with a list price of $4,200 and costing $2,300 is sold on account, subject to the following terms: FOB destination, 2/10, n/30. The seller prepays the freight costs of $85 (debit Delivery Expense for the freight costs). Prior to payment for the goods, the seller issues a credit memo for $750 to the customer for merchandise costing $425 that is returned. Payment is received within the discount period. The company uses a perpetual inventory system. Record the foregoing transactions of the seller in the sequence indicated below. (a) Sold the merchandise, recognizing the sale and cost of merchandise sold. (b) Paid the freight charges. (c) Issued the credit memo. (d) Received payment from the customer. (a) (b) (c) (d)