Ramirez Company has the following selected transactions during March.

Mar. 2 Purchased equipment costing $6,000 from Briggs Company on account.
5 Received credit memorandum for $300 from Redbone Company for merchandise damaged in shipment to Ramirez.
7 Issued a credit memorandum for $400 to Sparks Company for merchandise the customer returned. The returned merchandise had a cost of $260.

Ramirez Company uses a one-column purchases journal, a sales journal, the columnar cash journals used in the text, and a general journal.

Instructions
  (a) Journalize the transactions in the general journal.
  (b) In a brief memo to the president of Ramirez Company, explain the postings to the control and subsidiary accounts.