One-half of the shipment described in BEB.2 is returned because the incorrect sizes have been shipped. Record the return of merchandise on the seller’s books. 

Data from BEB.2

Record the sale on account, for $1,600, of merchandise costing $900 in the province of Quebec. Assume the company uses a perpetual inventory system and the earnings approach to revenue recognition. The QST is 9.975%. (Use QST Payable for Quebec sales tax transactions.)