AP At December 31, 2025, Highland Stores estimates that goods with a selling price of \($4,700\) and a cost of \($1,870\) that were sold on account during the current period will be returned during the next accounting period. On January 17, 2026, the goods were returned as estimated. The customer had not paid for the goods by the time of the return.

Instructions Record the entry or entries required to adjust for this information, as well as the subsequent return.