On October $2,2025,$ Blossom Company sold $$5,430$ of its elite camping gear $($with a cost of $$3,270)$ to Bridgeport Outfitters. As part of the sales agreement, Blossom includes a provision that if Bridgeport is dissatisfied with the product, Blossom will grant an allowance on the sales price or agree to take the product back $($although returns are rare, given the long$-$term relationship between Blossom and Bridgeport$).$ Bridgeport expects total allowances to Bridgeport to be $$780.$ On October $16,2025,$ Blossom grants an allowance of $$390$ to Bridgeport because the color for some of the items delivered was a bit different than what appeared in the catalog.

Prepare journal entries for Blossom to record $(1)$ the sale on October $2,2025,(2)$ the granting of the allowance on October $16,2025,$ and, $(3)$ any adjusting required on October $31,2025($when Blossom prepares financial statements$).$ Blossom now estimates additional allowances of $$260$ will be granted to Bridgeport in the future. $($Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select $"$No entry" for the account titles and enter $0$ for the amounts. List all debit entries before credit entries.$)$

No

$(1)$

To record sales on account$)$

$(2)$

$(3)$

Indicate the income statement reporting by Blossom at October $31,2025,$ of the information related to the Bridgeport transaction.

Indicate the balance sheet reporting by Blossom at October $31,2025,$ of the information related to the Bridgeport transaction.