Sales returns and allowances	14,700	Insurance expense	12,530
Ending inventory per perpetual records	27,920	Rent expense	25,050
Ending inventory actually on hand	27,020	Salaries and wages expense	59,730
Cost of goods sold	219,160	Sales discounts	13,090
Freight-out	7,530
Sales revenue	419,03

a) Prepare the necessary adjusting entry for inventory.

b) Prepare the necessary closing entries.