On October 1, Robertson Company sold merchandise in the amount of $5,800 to Alberts, with credit terms of 2/10, n/30. The cost of items sold is $4,000. Robertson used the perpetual inventory system. On October 4, Alberts returns some of the merchandise. The selling price of the merchandise is $500 and the cost of the merchandise returned is $350.

The entry or entries that Robertson must make on October 4th is:

a. Sales returns and allowances...500

Accounts receivable...500

Merchandise Inventory...350

Cost of goods sold...350

b. Sales return and allowances...500

Accounts receivable...500

c. Accounts receivable...500

Sales returns and allowances...500

d. Accounts receivable...500

Sales returns and allowances...500

Cost of goods sold...350

Merchandise inventory...350

e. Sales returns and allowances...350

Accounts receivable...350