Hallfax Manufacturing allows its customers to return merchandise for any reason up to $90$ days after delivery and recelve a credit to thelr accounts. All of Halifax's sales are for credit $($no cash is collected at the time of sale$).$ The company began $2018$ with a refund llability of $$360,000.$ During $2018,$ Halifax sold merchandise on account for $$12,100,000.$ Halifax's merchandise costs it $70\%$ of merchandise selling price. Also during the year, customers returned $$594,000$ in sales for credit, with $$328,000$ of those being returns of merchandise sold prior to $2018,$ and the rest being merchandise sold during $2018.$ Sales returns, estimated to be $5\%$ of sales, are recorded as an adjusting entry at the end of the year.

Required:

Prepare entries to $($a$)$ record actual returns in $2018$ of merchandise that was sold prior to $2018$; $($b$)$ record actual returns in $2018$ of merchandise that was sold during $2018$; and $($c$)$ adjust the refund llability to its approprlate balance at year end.

What is the amount of the year$-$end refund liability after the adjusting entry is recorded?

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Prepare entries to $($a$)$ record actual returns in $2018$ of merchandise that was sold prior to $2018$; $($b$)$ record actual returns in $2018$ of merchandise that was sold during $2018$; and $($c$)$ adjust the refund liability to its appropriate balance at year end. $($If no entry is required for a transaction$/$event$,$ select $"$No journal entry required" in the first account field.$)$

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$\backslash$table$[[,$No$,$Year,General Joumal,Debit,Credit$],[7,1,2018,$Refund liability,$328,000,],[,,$Accounts receivable,,$328,000],[$i$,,,,,],[2,2018,$Sales returns,$266,000,],[,,$Accounts receivable,,$266,000],[,,,,],[,3,2018,$Sales returns,,$],[,,$Accounts receivable,,$],[,,,,,],[,4,2018,$Inventory,,$],[,,$Cost of goods sold,,$],[$III$,,,,],[,5,2018,$Sales returns,$339,000,],[,,$Refund liability,,$339,000],[,,$hing,,$],[,6,2018,$Inventory$-$estimated returns,,$],[$l$|2,,$Cost of goods sold,,$]]$