Diversified Semiconductors sells perishable electronic components. Some must be shipped and stored in reusable protective contalners. Customers pay a deposit for each container recelved. The deposit is equal to the container's cost. They recelve a refund when the container is returned. During $2024,$ deposits collected on contalners shipped were $$896,000.$

Deposits are forfelted if contalners are not returned within $18$ months. Containers held by customers at January $1,2024,$ represented deposits of $$625,000.$ In $2024,$$$834,000$ was refunded and deposits forfelted were $$40,750.$

Requlred:

Prepare the approprlate journal entries for the deposits recelved, returned, and forfelted during $2024.$

$2$ Determine the llability for refundable deposits to be reported on the December $31,2024,$ balance sheet.

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Prepare the appropriate journal entries for the deposits received, returned, and forfeited during $2024.$

Note: If no entry is required for a transaction$/$event$,$ select $"$No joumal entry required" in the first account field.