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Under contract, Sojourn Co. dellvers 2,000 units to Customer A for $85 each on 1 April. Sojourn's documented policy is to allow a customer to
Under contract, Sojourn Co. dellvers 2,000 units to Customer A for $85 each on 1 April. Sojourn's documented policy is to allow a customer to return any unused product within 90 days and recelve a full refund. The cost of each product is $60. 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. Recuireds 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.) Note: Enter debits before credits. Record the adjustment to Inventory on account of the contract. Note: Enter debits before credito
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