Purchase-Related Transactions

Warwick's Co., a women's clothing store, purchased $25,000 of merchandise from a supplier on account, terms FOB destination, 2/10, n/30. Warwick's returned $3,800 of the merchandise, receiving a credit memo, and then paid the amount due within the discount period.

a.Journalize Warwick's Co.'s entry to record the purchase.

b.Journalize Warwick's Co.'s entry to record the merchandise return.

c.Journalize Warwick's Co.'s entry to record the payment.