Sunland Company is presently testing a number of new agricultural seeds that it has recently harvested....

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Sunland Company is presently testing a number of new agricultural seeds that it has recently harvested. To stimulate interest, it has decided to grant to five of its largest customers the unconditional right of return to these products if not fully satisfied. The right of return extends for 4 months, Sunland sells these seeds on account for $1,370,000 (cost $685,000) on January 2, 2025, Customers are required to pay the full amount due by April 15, 2025. Prepare a journal entry to record the adjusting entry for March 31, 2025 when the financial statements are prepared. Sunland believes it's original estimate of returns is correct. (Round answers to O decimal places, e.g. 5,125. List all debit entries before credit entries. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter O for the amounts.) Date Account Titles and Explanation March 31, 2025 March 31, (To record sales returns) 2025 (To record cost of goods returned) Debit Credit Sunland Company is presently testing a number of new agricultural seeds that it has recently harvested. To stimulate interest, it has decided to grant to five of its largest customers the unconditional right of return to these products if not fully satisfied. The right of return extends for 4 months, Sunland sells these seeds on account for $1,370,000 (cost $685,000) on January 2, 2025, Customers are required to pay the full amount due by April 15, 2025. Prepare a journal entry to record the adjusting entry for March 31, 2025 when the financial statements are prepared. Sunland believes it's original estimate of returns is correct. (Round answers to O decimal places, e.g. 5,125. List all debit entries before credit entries. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter O for the amounts.) Date Account Titles and Explanation March 31, 2025 March 31, (To record sales returns) 2025 (To record cost of goods returned) Debit Credit