Customer refunds, allowances, and returns On April 23, stilwell Inc. sold $15,000 of merchandise to Bosch Inc. with terms 2/10,w/30. The cost of the merchandise sold was $9,000. On May 2, Bosch Inc. paid Stilwell for the April 23 purchase less the discount on May 11, Bosch Inc returned merchandise to Stilwell Inc. and received a cash refund. The invoice amount of the returned merchandise was $2,500, and the merchandise originally cost Stilwell Inc. $1,300 a. Journalize the entries by Stilwell in to record the April 23 sale. If an amount box does not require an entry, leave it blank Apr 23 Accounts Receivable-Bosch Inc. Sales 2.500X 2.500 X 9.000 Apr. 23 Cost of Merchandise Sold Merchandise Inventory Check My Wor a. Consider the discount to be taken when recording the sale. Also record the cost of the merchandise sold b. Journalize the entry by Stilwell Inc, to record the payment by Bosch Inc. on May 2. If an amount box does not require an entry, leave it blank. 300 X May 2 Sales Discounts Accounts Receivable-Bosch Inc. 15,000 X Fac c. Journalize the entries by Stilwell Inc. on May 11 to record the cash refund to Bosch Inc and the returned merchandise. If an amount box does not require an entry, leave it blank 2.500 X May 11 Customer Refunds Payable Cash 2.500 X 1,100 May, 11 Merchandise Inventory Estimated Returns Inventory 1.300 Check My Wor c. Consider the accounts and amounts to be debited and credited by the seller when merchandise is returned for a cash refund. d. How are Estimated Returns Inventory and Customer Refunds Payable reported on the financial statements of Stilwell Inc.? Estimated Returns Inventory is reported as a property, plant and equipment X, while Customer Refunds Payable is reported as a current asset Feedback