Sunland Publishing Co. publishes college textbooks that are sold to bookstores on the following terms. Each title has a fixed wholesale price, terms f.o.b. shipping point, and payment is due 60 days after shipment. The retailer may return a maximum of 30% of an order at the retailers expense. Sales are made only to retailers who have good credit ratings. Past experience indicates that the normal return rate is 12% and the average collection period is 72 days. The company follows IFRS.

a) On August 8, 2020, Sunland shipped books invoiced at $33,000,000 (cost $26,000,000). Prepare the journal entry to record this transaction, including the expected returns.

Date	Account	Debit	Credit
Aug 8
	(To record sale on account)
Aug 8
	(To record cost of goods sold)

b) On October 3, 2020, $1,600,000 million of the invoiced July sales were returned according to the return policy, and the remaining $31,400,000 million was paid. Prepare the journal entries for the return and payment.

Date	Account	Debit	Credit
Oct 3
	(To record return from customer)
Oct 3
	(To record return of inventory)
Oct 3
	(To record collection on account)

c) On August 8, 2020, Sunland shipped books invoiced at $33,000,000 (cost $26,000,000). Prepare the journal entry to record this transaction, including the expected returns. Sunland follows ASPE.

d) On October 3, 2020, $1,600,000 million of the invoiced July sales were returned according to the return policy, and the remaining $31,400,000 million was paid. Prepare the journal entries for the return and payment. Sunland follows ASPE.