On April 7, Shields Co sold inventory in exchange for a gift card worth $7,600. The inventory originally cost Shields Co $4,000 to purchase On April 21, the customer returned half of what was purchased on April 7 and was refunded with store credit on the original gift card. There were no additional costs involved i in the return, and the product was returned in sellable condition. What journal entry should Shields Co record April 21, i.e.. on the return.date"

On April 7, Shields Co sold inventory in exchange for a gift card worth $7,600. The inventory originally cost Shields Co $4,000 to purchase On April 21, the customer returned half of what was purchased on April 7 and was refunded with store credit on the original gift card. There were no additional costs involved i in the return, and the product was returned in sellable condition. What journal entry should Shields Co record April 21, i.e.. on the return.date"

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter7: Inventories: Cost Measurement And Flow Assumptions

Section: Chapter Questions

Problem 4P

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