Refer to RE7-6. On April 23, Year 2, McKinney & Co. receives a check from Mangold Corporation

Question:

Refer to RE7-6. On April 23, Year 2, McKinney & Co. receives a check from Mangold for $8,500.
Prepare the journal entry for McKinney & Co. to record the collection of the account previously written off.
In RE7-6, At the end of the first quarter of Year 2, McKinney & Co. reevaluates its receivables. McKinney & Co.’s management decides that $8,500 due from Mangold will not be collectible.

Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...