Question: Bradford Plumbing had the following data for a recent year Credit

Bradford Plumbing had the following data for a recent year:
Credit sales ..................... $873,600
Allowance for doubtful accounts, 1/1 (a credit balance).... 19,430
Accounts receivable, 1/1 ................ 67,350
Collections on account receivable ............. 846,000
Accounts receivable written off ............. 16,840
Bradford estimates that 2.4 percent of credit sales will eventually default.
Required:
1. Compute bad debt expense for the year (rounding to the nearest whole number).
2. Determine the ending balances in accounts receivable and allowance for doubtful accounts.



Sale on SolutionInn
Sales6
Views259
Comments
  • CreatedSeptember 22, 2015
  • Files Included
Post your question
5000