Question - Headland Company includes 1 coupon in each box of soap powder that it packs, and 10 coupons are redeemable for a premium (a kitchen utensil). In 2017, Headland Company purchased 9,700 premiums at 85 cents each and sold 113,000 boxes of soap powder at $3.60 per box; 48,200 coupons were presented for redemption in 2017. It is estimated that 60% of the coupons will eventually be presented for redemption.
Prepare all the entries that would be made relative to sales of soap powder and to the premium plan in 2017.