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Case: An organization sells items. It offers its customers the option to collect points. For every $30 that is spent, they collect 8 points. For every 70 points, the customers can get a gift that costs the organization $20 and has a retail price of $40.
Information for the year 2023: Total Sales is $3,000,000. The percentage of points expected to be reclaimed is 80%. The number of gifts that is actually reclaimed is 2800.
Determine all the journal entries for this program in 2023 if IFRS is used.
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