Nix’It Company’s ledger on July 31, its fiscal year-end, includes the following selected accounts that have normal balances (Nix’It uses the perpetual inventory system). Merchandise inventory . $ 37,800 Sales returns and allowances $ 6,500 T. Nix, Capital 115,300 Cost of goods sold 105,000 T. Nix, Withdrawals . 7,000 Depreciation expense 10,300 Sales 160,200 Salaries expense 32,500 Sales discounts . 4,700 Miscellaneous expenses 5,000 A physical count of its July 31 year-end inventory discloses that the cost of the merchandise inventory still available is $35,900. Prepare the entry to record any inventory shrinkage.

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
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Chapter1: Financial Statements And Business Decisions
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Nix’It Company’s ledger on July 31, its fiscal year-end, includes the following selected accounts that have
normal balances (Nix’It uses the perpetual inventory system).
Merchandise inventory . $ 37,800 Sales returns and allowances $ 6,500
T. Nix, Capital 115,300 Cost of goods sold 105,000
T. Nix, Withdrawals . 7,000 Depreciation expense 10,300
Sales 160,200 Salaries expense 32,500
Sales discounts . 4,700 Miscellaneous expenses 5,000
A physical count of its July 31 year-end inventory discloses that the cost of the merchandise inventory still
available is $35,900. Prepare the entry to record any inventory shrinkage.

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