Novelty Furnishings Company's perpetual inventory records indicate that $755,000 of merchandise should be on hand on November 30, 20Y1. The physical inventory indicates that $742,000 of merchandise is actually on hand. Journalize the adjusting entry for the inventory shrinkage for Novelty Furnishings Company for the year ended November 30, 20Y1. Assume that the inventory shrinkage is a normal amount. Refer to the chart of accounts for the exact wording of the account titles. CNOW jourmals do not use lines for journal explanations. Every line on a journal page is used for debit or credit entries. CNOW journals will automatically indent a credit entry when a credit amount is entered. 立

Novelty Furnishings Company's perpetual inventory records indicate that $755,000 of merchandise should be on hand on November 30, 20Y1. The physical inventory indicates that $742,000 of merchandise is actually on hand. Journalize the adjusting entry for the inventory shrinkage for Novelty Furnishings Company for the year ended November 30, 20Y1. Assume that the inventory shrinkage is a normal amount. Refer to the chart of accounts for the exact wording of the account titles. CNOW jourmals do not use lines for journal explanations. Every line on a journal page is used for debit or credit entries. CNOW journals will automatically indent a credit entry when a credit amount is entered. 立

Financial Accounting

15th Edition

ISBN:9781337272124

Author:Carl Warren, James M. Reeve, Jonathan Duchac

Publisher:Carl Warren, James M. Reeve, Jonathan Duchac

Chapter6: Accounting For Merchandising Businesses

Section: Chapter Questions

Problem 9PA: On December 31, 2019, the balances of the accounts appearing in the ledger of Wyman Company are as...

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On December 31, Marchant Company took a physical count of its merchandise inventory. It operates under the perpetual inventory system. The physical count amounted to 185,294. The Merchandise Inventory account shows a balance of 187,936. Journalize the adjusting entry.
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