ABC Corporation makes $550,000 worth of credit sales on October 15, the goods cost $375,000 to produce. On November 5^th $45,000 of goods was returned (original cost $30,000). The outstanding amount was received on November 15.

Prepare the journal entry required to record the sales in October (2 marks)

b) Prepare the journal entry required to record the return in November (2 marks)

c) Prepare the journal entry required to record the receipt of the payment on November 15 (2 marks)

d) Calculate the gross profit percentage (2 marks)