Question: Purchasing Cutoff. When tracing using the cutoff information from the December 31 inventory count of Thermo-Tempur Mattresses, you note the following information:
The documentation indicates that the last receiving report included in the inventory count was Receiving Report 1182. Receiving Reports 1183 and 1184 were for goods received on the company's truck but not unloaded. Receiving report 1185 was for goods received on January 3.
Required: Prepare a correcting journal entry assuming that Thermo-Tempur uses (a) a periodic inventory system and (b) a perpetual inventory system that was updated for the inventory count.