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On March 10, 2025. Ivanhoe Company sold to Metlock Hardware 240 tool sets at a price of $49 each (cost $32 per set) with terms

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On March 10, 2025. Ivanhoe Company sold to Metlock Hardware 240 tool sets at a price of $49 each (cost $32 per set) with terms of n/60, to.b. shipping point. Ivanhoe allows Metlock to return any unused tool sets within 60 days of purchase. Ivanhoe estimates that (1) 10 sets will be returned, (2) the cost of recovering the products will be immaterial, and (3) the returned tools sets can be resold at a profit. On March 25, 2025, Metlock returned 5 tool sets and received a credit to its account. Assume that instead of selling the tool sets on credit, that Ivanhoe sold them for cash. (a) - Your answer is partially correct. Prepare journal entries for Ivanhoe to record (1) the sale on March 10, 2025, (2) the return on March 25, 2025, and (3) any adjusting entries required on March 31,2025 (when Ivanhoe prepares financial statements). Ivanhoe believes the original estimate of returns is correct. (Credit account titles are outomatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account tities and enter Ofor the amounts. List all debit entries before credit entries) Prepare journal entries for Ivanhoe to record (1) the sale on March 10,2025, (2) the return on March 25, 2025, and (3) any adjusting entries required on March 31, 2025 (when Ivanhoe prepares financial statements). Ivanhoe believes the original estimate of returns is correct. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter O for the amounts. List all debit entries before credit entries) Question 5 of 7 1.22/5 (To record sales returns) (To record cost of goods returned) (Adjusting entry for sales returns) Estimated inventory Returm Cost of Goodisold (Adjusting entry for cost of goods sold) eTextbook and Media

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