At December 31, 2022, Highland Corporation estimates that goods with a selling price of $4,700 and a cost of $1,870 that were sold on account during the current period will be returned during the next accounting period. On January 17, 2023, the goods were returned as estimated. The customer had not paid for the goods by the time of the return. 

Instructions 

Record the entry or entries required to adjust for this information, as well as the subsequent return.