Kingbird Supplies Company sold 3,240 metal connectors on account to Door Incorporated for $202 each on September 15. Each metal connector costs Kingbird $155 to make. Door has 60 days to return the unused goods. On September 29, Door returns 52 connectors. Kingbird has a September 30 fiscal year end. At year end, Kingbird believes 77 connectors is a good estimate of the total that will be returned. The cost of recovering these products is immaterial. Kingbird expects to be able to resell these goods for a profit.
Kingbird Supplies Company uses a perpetual inventory.
Prepare the Journal entries to record the initial sales on September 15 for Kingbird Company.