At year end, the perpetual inventory records of Ivanhoe Company showed merchandise inventory of $$97,600.$ The company determined, however, that its actual inventory on hand was $$96,400.$ Record the necessary adjusting entry. $($Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select $"$No Entry" for the account titles and enter O for the amounts. List debit entry before credit entry.$)$

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