C. On July 2, Lake Company sold goods with a sales price of $6,000 (cost $3,600) at terms of n/60, f.o.b. shipping point. Lake estimates that goods with a sales value of $600 (cost $360 ) will be returned. Lake determines that the costs of recovering the goods will be immaterial, and the returned goods can be resold at a profit. On July 10 , a customer returned goods with a sale value of $250 (cost \$150). The same day, Lake issued a credit memo to the customer. On July 31 , Lake Company believed the original estimate of returns is correct. Instructions ( 18 points) Prepare journal entries for Lake Company to record all the events noted above. C. On July 2, Lake Company sold goods with a sales price of $6,000 (cost $3,600) at terms of n/60, f.o.b. shipping point. Lake estimates that goods with a sales value of $600 (cost $360 ) will be returned. Lake determines that the costs of recovering the goods will be immaterial, and the returned goods can be resold at a profit. On July 10 , a customer returned goods with a sale value of $250 (cost \$150). The same day, Lake issued a credit memo to the customer. On July 31 , Lake Company believed the original estimate of returns is correct. Instructions ( 18 points) Prepare journal entries for Lake Company to record all the events noted above