9 of 2 Nix'It Company's ledger on July 31, its fiscal year-end, includes the following selected accounts that have normal balances (Nix'It uses the perpetual inventory system). No Merchandise inventory Retained earnings Dividends 1 Sales Sales discounts QS 4-11 (Algo) Accounting for shrinkage-perpetual system LO P3 Prepare the entry to record any inventory shrinkage. A physical count of its July 31 year-end inventory discloses that the cost of the merchandise inventory still available is $38,450. $ 39,800 Sales returns and allowances 119,300 Cost of goods sold 7,000 Depreciation expense 159,400 Salaries expense 3,300 Miscellaneous expenses Date July 31 Answer is complete but not entirely correct. Cost of goods sold Merchandise inventory General Journal $ 6,100 106, 200 10,700 34,500 5,000 Debit 1,550 x Credit 1,550 X

Nix'it Company's ledger on July 31, its fiscal year-end, includes the following selected accounts that have normal batances (Nixit uses the perpetual inventory system). A physical count of its July 31 year-end inventory discloses that the cost of the merchandise inventory still available is $38,450. QS 4-11 (Algo) Accounting for shrinkage-perpetual system LO P3 Prepare the entry to record any inventory shrinkage