The general ledger shows a balance of $66,600 in the Merchandise Inventory account at the end of the period The physical inventory count shows inventory of $63,400. (Assume a perpetual inventory system.) The adjusting entry includes a O A. debit to Merchandise Inventory and a credit to Cost of Goods Sold for $3,200 O B. debit to Merchandise Inventory and a credit to Cash for $3,200 O C. debit to Cost of Goods Sold and a credit to Cash for $3,200 O D. debit to Cost of Goods Sold and a credit to Merchandise Inventory for $3,200