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If a company lists Merchandise Inventory as $201,000 on its trial balance, but the physical count determines the actual value of inventory on hand is
If a company lists Merchandise Inventory as $201,000 on its trial balance, but the physical count determines the actual value of inventory on hand is $199,000, the adjusting entry will include:
a debit to Merchandise Inventory for $2,000
a credit to Merchandise Inventory for $2,000
a credit to Merchandise Inventory for $191,000
a debit to Merchandise Inventory for $189,000
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