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Under contract, Rahim Corporation delivers 500 units to Customer A for $200 each on 1 March. Rahim's documented policy is to allow a customer to return any unused product within 30 days and receive a full refund. The cost of each product is $150. Rahim expects that the returned products can be resold. On March 15th, the customer returned 8 units to Rahim. No other returns were received during the month.
Required:
Problem 1: Record all of Rahim Inc' journal entries for the month, assuming that Rahim cannot reasonably estimate the amount of returns on March 15th.
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