Presented below are two independent situations. Assume each company uses a periodic inventory…

Presented below are two independent situations. Assume each company uses a periodic inventory system. 1. On January 6, Bow Co. sells merchandise on account to Pryor Company for $7,000, terms 2/10, n/30. On January 16, Pryor Company pays the amount due. 2. On January 10, D. Laskowski purchases $9,000 of merchandise from Paltrow Co., terms 2/10, n/30. D. Laskowski returns $600 of merchandise to Paltrow on January 15. Paltrow Co. charges its customers 1% per month on overdue amounts. On March 10, Paltrow records interest on D. Laskowski s past due account. On March 31, D. Laskowski pays his account in full. Instructions (a) Foritem1, prepare the entries on January 6 and January 16 on Bow Co.s books. (b) For item 2, prepare the entries required on January 10, January 15, March 10, and March 31 on Paltrow Company s books.