During the audit of ABBB a series of cutoff issues were identified.For each of the potential December 31, year 2, sales cutoff problems listed below, double-click on the shaded space and select the appropriate adjustment for year 2 from the list provided.Each item in the list may be used once, more than once, or not at all. Selection List | A. | No adjustment necessary. | F. | Accounts receivable (dr.)
Inventory (cr.) | | B. | Accounts receivable (dr.)
Sales (cr.) | G. | Sales (dr.)
Accounts receivable (cr.)
Inventory (dr.)
Cost of sales (cr.) | | C. | Sales (dr.)
Accounts receivable (cr.) | H. | Sales (dr.)
Inventory (cr.) | | D. | Inventory (dr.)
Cost of sales (cr.) | I. | Accounts receivable (dr.)
Sales (cr.)
Cost of sales (dr.)
Inventory (cr.) | | E. | Cost of sales (dr.)
Inventory (cr.) | J. | Sales (dr.)
Cost of sales (cr.) | 5.The company shipped merchandise (FOB destination) on December 30, year 2, and recorded the sale, but not the relief of inventory, on that date. The customer received the merchandise on January 3, year 3.
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