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On October 6,2024 , the Elgin Corporation signed a purchase commitment to purchase inventory for...

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On October 6,2024 , the Elgin Corporation signed a purchase commitment to purchase inventory for $66,000 on or before March 3 2025. The company's fiscal year-end is December 31. The contract was exercised on March 21, 2025, and the inventory was purchased for cash at the contract price. On the purchase date of March 21 , the market price of the inventory was $56.000. The market price of the inventory on December 31,2024 , was $60,000. The company uses a perpetual inventory system. Required: 1. Prepare the necessary adjusting journal entry (if any is required) on December 31, 2024. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. 2. Prepare the journal entry to record the purchase on March 21, 2025. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Journal entry worksheet 2 Record any necessary adjusting entry related to the purchase commitment. Note: Enter debits before credits

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