Charleston's Furniture uses the perpetual inventory method. At the end of the year, Charlestons Furnitures Inventory account

Question:

Charleston's Furniture uses the perpetual inventory method. At the end of the year, Charleston’s Furniture’s Inventory account had a ledger balance of $87,000. A physical inventory count revealed that the actual inventory on hand totaled $85,300. Journalize the transaction necessary to adjust the Inventory account at the end of the year.