At the beginning of the year, SnapIt had $10,000 of inventory. During the year, SnapIt purchased $35,000

Question:

At the beginning of the year, SnapIt had $10,000 of inventory. During the year, SnapIt purchased $35,000 of merchandise and sold $30,000 of merchandise. A physical count of inventory at year-end shows $14,000 of inventory exists. Prepare the entry to record inventory shrinkage.