E3-38. Inferring Transactions from Finandal Stateml'nts Ethan Allen Interiors Inc .. a leauing manufadurer anu retailer nf honw furni�hings and :it:ccssories. sells products through an exdusive network or .ipprm.imately 300 design centers. All of Eth:in Allen ·s pmduo.:ts arc �uld hy special order. Customers generally place a deposit equal to '.!5'1 10 50% of the purchase price when ordering. Orders take 4 10 12 weeks to be delivered. Selected fiscal-year information from the company's balance sheets is as follows ($ thousands): Selected Balance Sheet Data Inventories ................................................. . Customer deposits ......•...•......•..•.....•.•..•........•... 2017 $149,483 62,960 2016 $162,323 60,958

a. In fiscal 2017. Ethan Allen reponed total sales revenue of $763.385 (thousand). Assume that the company collected customer deposits equal 10 $200.000 (thousand) over the year. Prepare entries. using the financial statement effects template and in journal entry form, to record customer deposits and its sales revenue for fiscal year 2017.

b. Ethan Allen's cost of goods sold for 2017 was $343,662 (thousand). Prepare the adjusting entry, using the financial statement effects template and in journal entry form, that it made to record inventory acquisitions.

c. Where would you expect Ethan Allen to repon its Customer Deposits'!