In its first year of business, Laker Corporation had sales of $2,190,000 and cost of goods sold of $1,295,000. Laker expects returns in the following year to equal 6% of sales and 6% of cost of goods sold. The adjusting entry or entries to record the expected sales returns is (are): Multiple Choice Account Title Debit Credit Sales returns and allowances Sales 131,400 131,400 Cost of Goods Sold 77,700 Inventory Returns Estimated 77,700 Account Title Sales Debit 2,190,000 Credit Sales Refund Payable Accounts Receivable 131,400 2,058,600 Account Title Sales Refund Payable Debit 131,400 Credit Accounts Receivable 131,400 Account Title Debit Credit Sales Returns and Allowances Sales Refund Payable Inventory Returns Estimated Cost of goods sold 131,400 131,400 77,700 77,700 Account Title Debit Credit Accounts Receivable 2,190,000 Sales 2,190,000