=+During the year, sales returns and allowances totaled $172,100. The cost ofthe merchandise returned was $100,300. The accountant recorded all the returns and allowances by decreasing the sales account and decreasing Cost ofMerchandise Sold for $172,100.

Was the accountant’s method ofrecording returns acceptable? Explain. In your explana¬

tion, include the advantages of using a sales returns and allowances account.