Right of Return. Use the following information to answer Q5a, Q5b and Q5c. On Nov 2, 2019, the Fine Metal Co. sold Precision Inc, 200 tool sets at a price of $50 each [cost $30 per set] terms n/60. Fine Metal’s customers have the right to return any unused tool sets within 30 days of purchase. Fine Metal estimate that 10 sets will be returned. On Nov 22, Precision returned 8 sets. Precision Inc. settled its account with Fine Metal on Dec 31, coinciding with the end of Metal’s financial year. Provide the journal and adjusting entries required by Fine Metal for the transactions described above. [6 marks]

Answer rating: 100% (QA)

Accounts recievable 10000 To sales revenue 9500 To refund liability 1050 5... View the full answer