Using a perpetual inventory system, what is recorded when a customer returns a product that was purchased on account, and the product is put back on the store shelf to be resold?

Multiple choice question.

a debit to sales returns & allowances and a credit to accounts receivable; and a debit to inventory and a credit to cost of goods sold

a debit to accounts receivable and a credit to sales returns & allowances; and a debit to cost of goods sold and a credit to inventory

a debit to cash and a credit to sales returns & allowances; and a debit to inventory and a credit to cost of goods sold

a debit to sales returns & allowances and a credit to accounts receivable