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Required information

Use the following information for the Exercises below.

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Nix'It Company's ledger on July $31,$ its fiscal year$-$end, includes the following selected accounts that have normal balances $($Nix$\text{'}$lt uses the perpetual inventory system$).$

$\backslash$table$[[$Merchandise inventory,$$40,300,$Sales returns and allowances,$$6,000$