In the current year, Borden Corporation had sales of $2,120,000 and cost of goods sold of $1,260,000. Borden expects returns in the following year to equal 5% of sales. The unadjusted balance in Inventory Returns Estimated is a debit of $18,000, and the unadjusted balance in Sales Refund Payable is a credit of $22,000. The adjusting entry or entries to record the expected sales returns is (are):
A.
| Sales returns and allowances | 84,000? | |
| Sales | 84,000? | |
| Cost of Goods Sold | 45,000? | |
| Inventory Returns Estimated | 45,000? |
B.
| Sales Refund Payable | 84,000? | |
| Accounts receivable | 84,000? |
C.
| Accounts Receivable | 2,120,000? | |
| Sales | 2,120,000? |
D.
| Sales Returns and Allowances | 84,000? | |
| Sales Refund Payable | 84,000? | |
| Inventory Returns Estimated | 45,000? | |
| Cost of goods sold | 45,000? |
E.
| Sales | 2,120,000? | |
| Sales Refund Payable | 106,000? | |
| Accounts receivable | 2,014,000? |
Answer: D
You might also like to view...
A(n) __________ places the license terms on the outside of a box containing software
a. click-wrap license b. browse-wrap agreement c. shrink-wrap license d. computer-license agreement
Savannah and Tim enter into a sales contract for orchids. With respect to the specific contractual provisions set out in the UCC, Savannah and Tim may A) agree to different terms only to a reasonable extent
B) agree to different terms unless they "get caught." C) agree to whatever terms they wish. D) not agree to different terms.
The executor of the Estate of Kate Tweed discovered the following assets (at fair value): Cash$104,000 Interest receivable 7,800 Life Insurance policy 390,000 Residence 260,000 Shares of PepsiCo 65,000 Shares of Apple 143,000 Shares of Kenyan Lake 182,000 ??The will of Kate Tweed had the following provisions:? $195,000 in cash went to Victor Vickery. ? All shares of PepsiCo went to Duchess Doyle. ? The residence went to Louis Tweed. ? All other estate assets were to be liquidated with the resulting cash going to the Sacred Church of Liberty, Missouri.?Additional debts of $78,000 were discovered. Debts totaling $130,000 were paid. Prepare the journal entry to record the transaction.
What will be an ideal response?
Which of the following would NOT improve a website's accessibility?
A) using fixed text sizes B) using self-explanatory links C) adding alternative text tags for every image D) creating text-only alternative versions for devices such as PDA