Current Attempt in Progress

On July $10,2025,$ Cullumber Music sold CDs to retailers on account and recorded sales revenue of $$644,000($cost $$502,320).$ Cullumber grants the right to return C$.$D$.$s that do not sell in $3$ months following delivery. Past experience indicates that the normal return rate is $15\%.$ By October $11,2025,$ retailers returned CDs to Cullumber and were granted credit of $$78,600.$

Prepare Cullumber's journal entries to record $($a$)$ the sale on July $10,2025,$ and $($b$)$ $$78,600$ of returns on October $11,2025,$ and on October $31,2025.$ Assume that Cullumber prepares financial statements on October $31,2025$ and uses the gross method. $($Credit account titles are automatically indented when 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. List all debit entries before credit entries.$)$