Drax Corp. follows IFRS and sells its products in expensive, reusable containers that can be tracked. The customer is charged a deposit for each container that is delivered and receives a refund for each container that is returned within two years after the year of delivery. When a container is not returned within the time limit, Drax accounts for the container as being sold at the deposit amount and credits the account Container Sales Revenue. Information for 2017 is as follows:

Column1	Column2	Column3	Column4	Column5
Containers held by customers at Dec 31, 2016 from deliveries in		2015	$ 170,000
		2016	$ 480,000	$ 650,000
Containers delivered in 2017				$ 894,000
Containers returned in 2017 from deliveries in		2015	$ 115,000
		2016	$ 280,000
		2017	$ 310,400	$ 705,400

Required: A) Prepare all journal entries required for Drax Corp. for the returnable deposits during 2017. B) Calculate the total amount that Diagnostics should report as a liability for returnable deposits at December 31, 2017. C) Should the liability calculated in part (b) be reported as current or long-term?

Explain.