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Adjusting entry for customer refunds, allowances, and returns Scott Company had sales of $13,000,000 and related cost of goods soid of $7,800,000 for the year ending December 31,20 rs. Scott provides customers a refund for any retumed or damaged merchandise. Scott Company estimates that customers will request refunds for 0.6% of sales and estimates that merchandise casting $53,030 mil be returned in 20 y Journalize the adjusting entries on December 31,20rg, to record the expected customer returns. If an amount bex does not require an entry, leave it biank. 20 8 Dec 2 DY.8 Der Feodback - Ched Uy Wot At the end of the accounting period as part of the adjusting process, a current asset account for the eltimated amount of merchandse that will se ratumiat oy. eustomers is used as well as a llability account to entimate refunds that wili be paid to customers