Estimating Sales Returns Lacey Inc, manufactures hair products that it sells to multiple distributors. Lacey developed a new line of shampoo that it sold to distributors in the month of July for $48,000 (cost of $24,000 ). If the distributors fail to sell the new product (shampoo), the product can be returned to Lacey Inc, for a full refund. Because this is a new product line, Lacey is unable to estimate the amount of returns. No actual returns took place in July. Estimating Sales Returns Lacey Inc, manufactures hair products that it sells to multiple distributors. Lacey developed a new line of shampoo that it sold to distributors in the month of July for $48,000 (cost of $24,000 ). If the distributors fail to sell the new product (shampoo), the product can be returned to Lacey Inc, for a full refund. Because this is a new product line, Lacey is unable to estimate the amount of returns. No actual returns took place in July