Pharoah Company offers an MP3 download (seven-single medley) as a premium for every 5 candy bar wrappers presented by customers together with $2.55. The candy bars are sold by the company to distributors for 30 cents each. The purchase price of each download code to the company is $2.30. In addition, it costs 50 cents to distribute each code. The results of the premium plan for the years 2017 and 2018 are as follows. (All purchases and sales are for cash.) MP3 codes purchased Candy bars sold Wrappers redeemed 2017 wrappers expected to be redeemed in 2018 2018 wrappers expected to be redeemed in 2019 2017 2018 255,000 336,600 3,147,300 2,880,400 1,224,000 1,530,000 295,800 357,000 Prepare the journal entries that should be made in 2017 and 2018 to record the transactions related to the premium plan of the Pharoah Company. (If no entry is required, select "No Entry for the account titles and enter for the amounts, Credit account titles are automatically Indented when amount is entered. Do not indent manually. Round answers to o decimal places, e.g. 2,525.) Account Titles and Explanation Debit Credit 2017 (To record the premium inventory.) (To record the sales.) (To record the expense associated with the sale.) (To record the premium liability.) (To record the premium liability.) 2018 (To record the premium inventory.) (To record the sales.) (To record the expense associated with the sale.) (To record the premium liability.) Indicate the amounts for each accounts, and classifications of the items related to the premium plan that would appear on the balance sheet and the income statement at the end of 2017 and 2018. Amount Account 2018 Classification Inventory of Premiums Premium Liability Premium Expense Question Attempts: 0 of 3 used