Hahn Flooring Company uses a perpetual inventory system. a. The inventory account has a balance of $677,500, while physical inventory indicates that $664,400 of merchandise is on hand. Assume any shrinkage is a normal amount. b. Sales retunds and allowances of $94,000 and merchandise returns of $49,550 are estimated for the current year's sales: Joumatize the December 31 adjusong enties based on the above transactions