Under contract, Sojourn Co$.$ delivers $3,900$ units to Customer A for $$100$ each on $1$ April. Sojourn's documented policy is to allow a

customer to return any unused product within $90$ days and receive a full refund. The cost of each product is $$70.$ On the basis of

historical experience, Sojourn estimates that $3\%$ of the units will be returned. Sojourn expects that the returned products can be

resold. Sojourn follows IFRS.

Required:

Record the journal entries to be made by Sojourn on $1$ April to recognize the sale. $($If no entry is required for a transaction$/$event$,$

select $"$No journal entry required" in the first account field.$)$

Journal entry worksheet

$1$

$2.2.$

Record the adjustment to inventory on account of the contract.

Note: Enter debits before credits.Under contract, Sojourn Co$.$ delivers $3,900$ units to Customer A for $$100$ each on $1$ April. Sojourn's documented policy is to allon

customer to return any unused product within $90$ days and receive a full refund. The cost of each product is $$70.$ On the basis o

historical experience, Sojourn estimates that $3\%$ of the units will be returned. Sojourn expects that the returned products can be

resold. Sojourn follows IFRS.

Required:

Record the journal entries to be made by Sojourn on $1$ April to recognize the sale. $($If no entry is required for a transaction$/$even

select $"$No journal entry required" in the first account field.$)$

Journal entry worksheet

$1$

$2$

Record the contract to deliver $3,900$ units to Customer A$.$

Note: Enter debits before credits.