Use the data for Albin Company in Problem 5-4B to complete the following requirements.

Required
1. Prepare closing entries as of March 31, 2011 (the perpetual inventory system is used).
Analysis Component
2. The company makes all purchases on credit, and its suppliers uniformly offer a 3% sales discount.
Does it appear that the company’s cash management system is accomplishing the goal of taking all available discounts? Explain.
3. In prior years, the company experienced a 5% returns and allowance rate on its sales, which means approximately 5% of its gross sales were eventually returned outright or caused the company to grant allowances to customers. How do this year’s results compare to prior years’results?

Debit Credit Merchandise inventory46,500 Other (noninventory) assets.. Total liabilities ...._.. R. Albin, Capital R. Albin, Withdrawals 190.600 52500 152,475 2.000 Sales. 318,000 Sales returns and allowances. Cost of goods sold. Sales salaries expense Rent expense Selling space.. Store supplies expense .. Advertising expense.. Office salaries expense Rent expense-Office space. Office supplies expense4n Totals ._.... 4.875 21.000 23,900 43,500 15.000 3.750 27.000 39,750 3.900 1.200 $522975 $522.975