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Mathematics, 29.11.2021 01:00 toricarter00
Sunland Publishing Co. publishes college textbooks that are sold to bookstores on the following terms. Each title has a fixed wholesale price, terms f. o.b. shipping point, and payment is due 60 days after shipment. The retailer may return a maximum of 30% of an order at the retailer’s expense. Sales are made only to retailers who have good credit ratings. Past experience indicates that the normal return rate is 12%. The costs of recovery are expected to be immaterial, and the textbooks are expected to be resold at a profit. (c) On July 1, 2020, Sunland shipped books invoiced at $14,600,000 (cost $11,680,000). Prepare the journal entry to record this transaction.
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