Current Attempt in Progress

The following errors were discovered on the books of Vaughn Corporation, during the $2024$ year$-$end process, prior to the books being closed for the year.

Prepare the journal entries required to correct the below errors, assuming that Vaughn follows IFRS and has a perpetual inventory system. For this question, ignore income tax.

$($a$)$

Your answer is partially correct.

While conducting the year$-$end inventory count in December $2024,$ it was discovered that $$7,000$ of product was omitted from the December $2023$ inventory count. The product had been shipped to a customer early in $2024,$ but had not been included in the $2023$ ending inventory. $($Credit account titles are automatically indented when the amount is entered. Do not indent manual$)$ i fro entry is required, select $"$No Entry" for the account titles and enter $0$ for the amounts List debit entry before credit entry$)$

Account Titles and Explanation

Debit

Credit

Retained Earnings