Hahn Flooring Company uses a perpetual inventory system. A. The inventory account has a balance of $1,333, 150, while physical inventory indicates that $1,309,900 of merchandise is on hnd. Assume any shrinkage is a normal amount. B. Sales returns of $125,000 and merchandise returns of $80,000 are estimated for the current year's sales. Journalize the December 31 adjusting entries based on the above transactions. Refer to the Chart of Accounts for exact wording of account titles

Hahn Flooring Company uses a perpetual inventory system. A. The inventory account has a balance of $1,333,150, while physicat inventory indicates that $1,309,900 of merctandise is on hand. Assume any shrinkage is a normal amount B. Sales returns of $125,000 and merchandise returns of $80,000 are estimated for the current years sales