Global Company sold merchandise to Montana Industries for cash, $3,450. The cost of goods sold was $1,850. Global Company refunded Montana Industries $900 for returned merchandise. The cost of goods sold was $600. Which of the following will be recorded by Global Company in the journal entry for the refund from the sale? a. Debit to Customer Refunds Payable, $900 b. Credit to Customer Refunds Payable, $900 c. Debit to Cash, $600 d. Credit to Accounts Receivable, $600 Which of the following does not relate to either of the two adjusting entries for customer refunds, allowances, and returns? a. One entry creates a customer refund liability account. b. One entry records the sales of goods to customers. c. One entry reduces the sales account. d. One entry creates an estimated returns inventory account. During the month, merchandise is sold for $80,500 cash and for $119,000 on account. The cost of goods sold is $101,500. What is the amount of gross profit? a. $98,000 b. $119,000 c. $80,500 d. $199,500 In a perpetual inventory system a. the amount of inventory for sale and the amount sold are not listed in the inventory account. b. each purchase and sale of inventory is recorded in the inventory account. c. the inventory records cannot be computerized. d. a count must be made in order to know the inventory amount