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You are hired as an accountant for Company B, a pen company. Your task is to prepare the financial statements for December 31, 2020. Company

You are hired as an accountant for Company B, a pen company. Your task is to prepare the financial statements for December 31, 2020.

Company A paid for 500 pens last month for $50 each. These pens were shipped out in December but not yet recorded. The shipping cost was already included in the selling price. The cost of each pen to Company B is $10 each.

What would be the journal entry for Company B?

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