This information relates to Rana Co. 1. On April 5, purchased merchandise from Craig Company for $25,000, terms 2/10, net/30, FOB shipping point. 2. On April 6, paid freight costs of $900 on merchandise purchased from Craig Company. 3. On April 7, purchased equipment on account for $30,000. 4. On April 8, returned some of April 5 merchandise, which cost $2,800, to Craig Company. 5. On April 15, paid the amount due to Craig Company in full. Required:
a. Prepare the journal entries to record these transactions on the books of Nandi Co. using a periodic inventory system.
b. Assume that Nandi Co. paid the balance due to Dion Company on May 4 instead of April 15. Prepare the journal entry to record this payment.

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