Crais Ferguson Company had the following account balances at year-end: cost of goods sold $70,000, imventory $17,300 : 0 perating expenses $33,000; sales reventse $121,000; sales discounts $1,400; and sales returns and allowances $1,950 A physical count of inventory determines that merchandise inventory on hand is $16,250. (a) Your answer is correct. Prepare the adjusting entry necessary as a result of the physical count. (II no entry is required, select "No Entry" for the account tities and enter 0 for the amounts. Credit account tities are automatically indented when amount is entered. Do not indent manually. Record journat entries in the order presented in the probiem? (To close income summary.) Assume that the physical count of inventory indicated that imventory on hand is $17,800 (the account still shows a balance of $17,300 due to errors made during the year. Prepare the adjusting entry necessary as a resuit of the physical count. (If no entry is required, setect "No Entry" for the account titles and enter O for the amounts. Credit account titles are automatically. indented when amount is entered, Do not indent manually. Record journal entries in the order presented in the problem.) Prepare closing entries. (II no entry is required, select "No Entry" for the account tities and enter O for the amounts, Credit occount titles are automatically indented when amount is entered. Do not indent manualfy. Record journaf entries in the order presented in the problem.)