-Caps 5 y 6 0 Merchandise inventory T. Nix, Capital 7. Nix, Withdrawals Sales Sales discounts $ 40,800 121,300 7,000 159,000 3,500 Sales returns and allowances Cost of goods sold Depreciation expense Salaries expense Miscellaneous expenses $ 5.900 106,800 10,900 35,500 5,000 A physical count of its July 31 year-end Inventory discloses that the cost of the merchandise inventory still available is $39,350. Prepare the entry to record any inventory shrinkage. View transaction list Journal entry worksheet Record the adjustment for inventory shrinkage based on physical count. Note: Enter debits before credits. Debit Credit Date July 31 General Journal Cost of goods sold Merchandise inventory