Below is information related to the Ivanhoe Company, owned by D. Flamont, corresponding to the month of January 2021.

Ending inventory for perpetual records		$21,600		insurance costs		$10,700
Ending inventory actually on hand		17,200		Rental costs		20,300
cost of goods sold		215,000		salary expenses		56,100
freight out		6,600		sales discounts		9,700
				Sales returns and benefits		13,200
				Sales		382,000

Prepare the necessary adjusting entry for inventory.

Prepare the necessary closing entries. D. Flamont did not withdraw cash during the month of January.