Jordache Corp. uses a perpetual inventory system and sells merchandise on account to Polo Limited for $2,000 on February 2, terms n/10. Management expects returns of 10%. The goods cost Jordache $800. On February 5, Polo returns merchandise worth $500 to Jordache. This merchandise costs $300 and is still in saleable condition; therefore, it was put back in inventory. On February 9, Jordache receives payment from Polo for the balance due. Identify the journal entry that Jordache needs to record for the sale of the merchandise on February 2. Accounts receivable 1,800 Sales 1,800 Cash 1,800 Accounts Receivable 1,800 Accounts receivable 2,000 Sales 1,800 Refund Liability 200 Accounts receivable 2,000 Sales 2,000 Identify the journal entry that Jordache needs to record for the cost of merchandise sold to Polo on account on February 2. Cost of Goods Sold 720 Estimated Inventory Return 80 Inventory 800 Cost of Goods Sold 800 Inventory 800 Cost of Goods Sold 800 Inventory 720 Estimated Inventory Return 80 Cost of Goods Sold 500 Inventory 500 Identify the journal entry required by Jordache to record the return of the merchandise by Polo on February 5. Refund liability 500 Inventory 500 Refund Liability 500 Estimated Inventory Return 500 Refund Liability 500 Accounts receivable 500 Estimated Inventory Return 500 Refund Liability 500