Question

Lincoln Co., which uses an Allowance for Doubtful Accounts, had the following transactions in 2012, 2013, and 2014. (Use the income statement approach.)
2012
Dec. 31 Recorded Bad Debts Expense of $11,700.
2013
Apr. 3 Wrote off George Lake account of $4,100 as uncollectible.
June 4 Wrote off John Mason account of $2,800 as uncollectible.
2014
Aug. 5 Recovered $470 from John Mason.
a. Journalize the transactions. (The company uses the income statement approach in estimating bad debts.)
b. Journalize how Lincoln Co. would record the John Mason bad debt situation if the direct write-off method were used.



$1.99
Sales0
Views73
Comments0
  • CreatedApril 24, 2014
  • Files Included
Post your question
5000