During 2017,CraneCo., a manufacturer of chocolate candies, contracted to purchase238000pounds of cocoa beans at $2.80per pound, delivery to be made in the spring of 2018. Because a record harvest is predicted for 2018, the price per pound for cocoa beans had fallen to $2.70by December 31, 2017.

Of the following journal entries, the one which would properly reflect in 2017 the effect of the commitment ofCraneCo. to purchase the238000pounds of cocoa is