NixIt Companys ledger on July 31, its fiscal year-end, includes the following selected accounts that have normal balances (NixIt uses the perpetual inventory system). Merchandise inventory $ 37,800 Sales returns and allowances $ 6,500 Retained earnings 115,300 Cost of goods sold (excluding shrinkage) 105,000 Dividends 7,000 Depreciation expense 10,300 Sales 160,200 Salaries expense 32,500 Sales discounts 4,700 Miscellaneous expenses 5,000 A physical count of its July 31 year-end inventory discloses that the cost of the merchandise inventory still available is $35,900. Prepare journal entries to close the balances in temporary revenue and expense accounts. Remember to consider the entry for shrinkage.