On July 10, 2015, Amodt Music sold CDs to retailers on account and recorded sales revenue of €700,000 (cost €560,000). Amodt grants the right to return CDs that do not sell in 3 months following delivery. Past experience indicates that the normal return rate is 15%. By October 11, 2015, retailers returned CDs to Amodt and were granted credit of €78,000. Prepare Amodt’s journal entries to record

(a) the sale on July 10, 2015, and

(b) €78,000 of returns on October 11, 2015.