A Customer Returned Merchandise Purchased with Cash with a Sales

A customer returned merchandise purchased with cash with a sales price of $9,500.The cost of goods was $3,800.Which of the following represents the correct way to record this transaction?

A) $$\begin{array} { | l | r | r | } \hline \text { Refunds Payable } & 9,500 & \\\hline \text { Sales Revenue } & & 9,500 \\\hline & & \\\hline \text { Merchandise Inventory } & 3,800 & \\\hline \begin{array} { l } \text { Estimated Returns } \\\text { Inventory }\end{array} & & 3,800 \\\hline\end{array}$$
B) $$\begin{array} { | l | r | r | } \hline \text { Refunds Payable } & 9,500 & \\\hline \text { Cash } & & 9,500 \\\hline & & \\\hline \text { Merchandise Inventory } & 3,800 & \\\hline \begin{array} { l } \text { Estimated Returns } \\\text { Inventory }\end{array} & & 3,800 \\\hline\end{array}$$
C) $$\begin{array} { | l | r | r | } \hline \text { Sales Revenue } & 9,500 & \\\hline \text { Cash } & & 9,500 \\\hline \\ \hline \text { Merchandise Inventory } &3,800 & \\\hline \text { Cost of Goods Sold } & & 3,800\\\hline\end{array}$$

D) $\begin{array}{|l|l|l|}\hline\text { Sales Returns and } & & \\\text { Allowances } & 9,500 & \\\hline \text { Cash } & & 9,500 \\\hline & & \\\hline \text { Estimated Returns Inventory } & 3,800 & \\\hline \text { Merchandise Inventory } & & 3,800 \\\hline\end{array}$