Providing for Doubtful Accounts
At the end of the current year, the accounts receivable accounthas a debit balance of $644,000 and net sales for the year total$7,300,000.
The allowance account before adjustment has a credit balance of$8,700. Bad debt expense is estimated at 1/4 of 1% of netsales.
The allowance account before adjustment has a credit balance of$8,700. An aging of the accounts in the customer ledger indicatesestimated doubtful accounts of $27,800.
The allowance account before adjustment has a debit balance of$9,300. Bad debt expense is estimated at 3/4 of 1% of netsales.
The allowance account before adjustment has a debit balance of$9,300. An aging of the accounts in the customer ledger indicatesestimated doubtful accounts of $77,200.
Determine the amount of the adjusting entry to provide fordoubtful accounts under each of the assumptions (a through d)listed above.
a. $ b. $ c. $ d. $
Providing for Doubtful Accounts
At the end of the current year, the accounts receivable accounthas a debit balance of $644,000 and net sales for the year total$7,300,000.
The allowance account before adjustment has a credit balance of$8,700. Bad debt expense is estimated at 1/4 of 1% of netsales.
The allowance account before adjustment has a credit balance of$8,700. An aging of the accounts in the customer ledger indicatesestimated doubtful accounts of $27,800.
The allowance account before adjustment has a debit balance of$9,300. Bad debt expense is estimated at 3/4 of 1% of netsales.
The allowance account before adjustment has a debit balance of$9,300. An aging of the accounts in the customer ledger indicatesestimated doubtful accounts of $77,200.
Determine the amount of the adjusting entry to provide fordoubtful accounts under each of the assumptions (a through d)listed above.
| a. | $ |
| b. | $ |
| c. | $ |
| d. | $ |
