Jan $3$ Strong Construction purchases $2,000bd.$ ft$.$ on account for $$3,200$

Jan $4$ The manager pays the BWLC for December $3$ purchases. $$30,000$

Jan $4$ Beacon personnel are broke after the holidays. The manager pays

accrued salaries from December.

Jan $4$ A person driving an AZCO tow truck drives up to the office. The office manager hastily writes out a check for January's rent.

Jan $4$ Joe Strong of Strong Construction calls to complain that $600$ bd$.ft.$ of framing lumber shipped in a recent order was defective. The office manager investigates the problem and agrees to grant a Sales Allowance of $$200.$ See CH $5$ for Sales Returns and Allowances.

John Q$.$ Homeowner has realized that he miscalculated the amount of lumber he needed for his home improvement project and asks the store manager if he can retum some lumber. Beacon accepts the return. $$200$

Jan $4$ Beacon announces a revision to its credit policies. All account holders will be allowed a $2\%$ discount if they pay their bills within $10$ days. Other balances will continue to be due in $30$ days.

Jan $10$ Beacon receives a check from Strong for full payment of the Jan purchase.

Jan $10$ Beacon has recently negotiated a $$10,000$ increase in its credit limit with $8$WLC and purchases $20,000$ board feet of inventory, for $$18,000.$ It pays $$4,000$ cash and charges the remaining $$14,000.$ BWLC will grant a $2\%$ discount for bills paid within $10$ days.

Jan $10$ Solid Construction has recently been awarded a large new job and its purchasing agent negotiates a volume discount on the purchase of $20,000bd.ft.$ Solid will pay $$1\mathrm{.}50/$ bd$.$ ft$.$ Solid charges the amount to its account.

Jan $17$ Beacon receives a check from Solid in full payment of its Jan $10$ purchase.

Jan $17$ The Beacon Office Manager meets with a representative of the BWLC to discuss the defective lumber which Beacon had purchased from BWLC and sold to Strong Construction. BWLC agrees to a Purchase Return and Allowance of $$112\mathrm{.}50$ BWLC will allow Beacon to apply this to purchases made in January.