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Prepare all the entries that would be made relative to sales

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Question - Premium Entries

No Doubt Company includes 1 coupon in each box of soap powder that it packs, and 10 coupons are redeemable for a premium (a kitchen utensil). In 2014, No Doubt Company purchased 8,800 premiums at 80 cents each and sold 110,000 boxes of soap powder at $3.30 per box; 44,000 coupons were presented for redemption in 2014. It is estimated that 60% of the coupons will eventually be presented for redemption.

Instructions - Prepare all the entries that would be made relative to sales of soap powder and to the premium plan in 2014?

Reference no: EM132032136

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