On March $10,2025,$ Sunland Company sold to Bramble Hardware $220$ tool sets at a price of $\backslash (\backslash$$ $53\backslash )$ each $($cost $\backslash (\backslash$$ $32\backslash )$ per set$)$ with terms of $\backslash ($ n $/60\backslash ),$ f$.$o$.$b$.$ shipping point. Sunland allows Bramble to return any unused tool sets within $60$ days of purchase. Sunland estimates that $(1)10$ sets will be returned, $(2)$ the cost of recovering the products will be immaterial, and $(3)$ the returned tools sets can be resold at a profit. On March $25,2025,$ Bramble returned $5$ tool sets and received a credit to its account.

$($a$)$

Your answer is correct.

Prepare journal entries for Sunland to record $(1)$ the sale on March $10,2025,(2)$ the return on March $25,2025,$ and $(3)$ any adjusting entries required on March $31,2025($when Sunland prepares financial statements$).$ Sunland believes the original estimate of returns is correct. $($Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select $"$No entry" for the account titles and enter $0$ for the amounts. List all debit entries before credit entries.$)$ Indicate the balance sheet reporting by Sunland at March $31,2025,$ of the information related to the Bramble sales transaction.

SUNLAND COMPANY Balance Sheet $($Partial$)$

March $31,2025$

Returned Inventory

Allowance for Sales Returns