Purchase-Related Transactions

Showcase Co., a furniture wholesaler, sells merchandise to Balboa Co. on account, $30,500, terms n/30. The cost of the merchandise sold is $18,300. Showcase Co. issues a credit memo for $5,500 as a price adjustment prior to Balboa Co. paying the original invoice.

a. Journalize Balboa Co.s entry for the purchase. If an amount box does not require an entry, leave it blank.

		fill in the blank ebb97b053ffc05f_2	fill in the blank ebb97b053ffc05f_3
		fill in the blank ebb97b053ffc05f_5	fill in the blank ebb97b053ffc05f_6

b. Journalize Balboa Co.s entry for the credit memo. If an amount box does not require an entry, leave it blank.

		fill in the blank 56f16d02c05000d_2	fill in the blank 56f16d02c05000d_3
		fill in the blank 56f16d02c05000d_5	fill in the blank 56f16d02c05000d_6

c. Journalize Balboa Co.s entry for the payment of the invoice. If an amount box does not require an entry, leave it blank.

		fill in the blank 57807d04cfc4028_2	fill in the blank 57807d04cfc4028_3
		fill in the blank 57807d04cfc4028_5	fill in the blank 57807d04cfc4028_6