For the Year Ended December 31,2019,Davidson Mart Had Sales of $800,000

question 2

Multiple Choice

For the year ended December 31,2019,Davidson Mart had sales of $800,000 and cost of goods sold of $600,000.Davidson estimates that approximately 2% of the merchandise sold will be returned.The adjusting journal entry on December 31,2019,would include a ________.

• A) debit to Cost of Goods Sold for $12,000
• B) credit to Refunds Payable for $16,000
• C) credit to Estimated Returns Inventory for $12,000
• D) debit to Sales Revenue for $4,000

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Definitions:

Low Conscientiousness

A personality trait characterized by a lack of responsibility, organization, and reliability.

Personality Inventory

A questionnaire or other standardized instrument used to evaluate and measure personality traits and characteristics.

DSM-5

The Diagnostic and Statistical Manual of Mental Disorders, Fifth Edition, which is a manual for assessing and diagnosing mental disorders.

Disinhibition

The reduction of restraint through the loss of inhibition, which can result in acting out or exploring behaviors typically held in check by societal norms.