Sheridan Publishers sells textbooks to universities across Canada. On July 10, 2021, Sheridan entered into a contract with Hinton University to supply 420 accounting textbooks at a price of $108 per book to be paid on September 25, 2021. The books cost Sheridan $95 each. Sheridans return policy states that any unsold books can be returned within 90 days of delivery. The books were delivered on August 25, 2021. Sheridan estimates returns at 10% of sales. Hinton returns 14 books on September 15, 2021, and 28 books on September 30, 2021.

Part 1

• Your Answer
• Correct Answer

Correct answer icon

Your answer is correct.

Determine the transaction price.

Transaction price

$

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List of Accounts

Attempts: 3 of 5 used

Using multiple attempts will impact your score.

40% score reduction after attempt 4

Part 2

Correct answer icon

Your answer is correct.

On what date should revenue be recognized?

Revenue should be recognized on July 10, 2021August 25, 2021September 15, 2021September 25, 2021.

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List of Accounts

Attempts: 1 of 5 used

Using multiple attempts will impact your score.

40% score reduction after attempt 4

Part 3

• Your Answer
• Correct Answer

New attempt is in progress. Some of the new entries may impact the last attempt grading.

Your answer is partially correct.

Prepare all journal entries required by Sheridan to record the transactions with Hinton University. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. Record journal entries in the order presented in the problem. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

Date	Account Titles and Explanation	Debit	Credit
August 25, 2021September 15, 2021September 25, 2021September 30, 2021
	(To record sales on account.)
August 25, 2021
	(To record cost of goods sold.)
August 25, 2021September 15, 2021September 25, 2021September 30, 2021
	(To record credit for goods returned.)
August 25, 2021September 15, 2021September 25, 2021September 30, 2021
	(To record cost of goods returned.)
August 25, 2021September 15, 2021September 25, 2021September 30, 2021
	(Collection on account.)
August 25, 2021September 15, 2021September 25, 2021September 30, 2021
	(To record cash refund for goods returned.)
August 25, 2021September 15, 2021September 25, 2021September 30, 2021
	(To record cost of goods returned.)

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