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How do I write the entry for merchandise sold on account but later returned by the company that bought the goods? The inventory wasn't restored
How do I write the entry for merchandise sold on account but later returned by the company that bought the goods? The inventory wasn't restored to inventory and the original price of the goods is 2185. Both companies bought the merchandise on account. Here is the transaction:
Oct 12: Guidant returned damaged merchandise that was purchased on October 8 for 3500$ credit on account. The merchandise originally cost 2185$ and was not restored to inventory.
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