Double check my work, and please make corrections.

3. Some of Mand T Electronics' merchandise is gathering dust. It is now December and the current ending merchandise inventory is $125.000. It is determined that the in inventory is $30,000 above the current replacement cost. Before the end of period adjustments, the company's Cost of Goods Sold account has a balance of $420,000. (10 points) Requirements a. Journalize any required entries in quality form. Merchandise Inventory 125000 30000 bal. 45ood 420,000 COGS 325,000 JOURNAL ACCOUNT DATE PR DEBIT CREDIT Dec. 13000 31Merchandise Inventory Cost of boods sold 99.000 b. c. At what amount should the company report merchandise inventory on the balance sheet? 15.000-30,00 - 155,000 to report for Merchandise inventay on the balance sheet At what amount should the company report cost of goods sold on the income statement? 420,000-30,000 to report cost of goods sold on the income statement. Which accounting principle or concept is most relevant to this situation and why? The conservatism concept which is most relevant to this situation because it requres one to account for all possible losses." ACC 121 (Fall 2019) Page 7 of 10