Corporate Financial Accounting 14th Edition by Carl Warren,James Reeve,Jonathan Duchac

تمرين 81

Adjusting entries
Hahn Flooring Company uses a perpetual inventory system. Journalize the December 31 adjusting entries based upon the following:
A. Sales returns of $125,000 and merchandise returns of $80,000 are estimated for the current year's sales.
B. The inventory account has a balance of $1,333,150, while physical inventory indicates that $1,309,900 of merchandise is on hand. Assume any shrinkage is a normal amount.