A company’s unadjusted balance in Merchandise Inventory

A company’s unadjusted balance in Merchandise Inventory 1. Sales Allowances and Sales Discounts are both designed to encourage customers to pay their accounts promptly. 2. To grant a customer a sales return, the seller credits Sales Returns and Allowances. 3. A company’s unadjusted balance in Merchandise Inventory will usually not agree with the actual amount of inventory on hand at year-end. 4. For a merchandising company, all accounts that affect the determination of income are closed to the Income Summary account. 5. A merchandising company has different types of adjusting entries than a service company. Business Management Assignment Help, Business Management Homework help, Business Management Study Help, Business Management Course Help