A customer purchased merchandise for $400 which cost the seller $200. The customer was dissatisfied...
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Accounting
A customer purchased merchandise for $400 which cost the seller $200. The customer was dissatisfied with some of the goods and thus returned $100 worth and received a cash refund. (a) What journal entries should the seller make when the merchandise is sold and at the time of the return? Assume that the seller uses a perpetual inventory system. (b) If the seller uses a periodic inventory system, what entries would be made?
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