Assuming the following information, prepare the necessary adjusting journal entries. Accounts Receivable Balance Net Credit Sales...
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Assuming the following information, prepare the necessary adjusting journal entries. Accounts Receivable Balance Net Credit Sales Allowance for Doubtful Accounts Bad Debts Expense $ 10,000 (debit) $100,000 (credit) $ 1,000 (credit) 0 A) The percent of credit sales method is used and the benchmark percentage is 2%. B) The aging of receivables method is used and the desired allowance balance is $2,000. Assuming the following information, prepare the necessary adjusting journal entries. Accounts Receivable Balance Net Credit Sales Allowance for Doubtful Accounts Bad Debts Expense $ 10,000 (debit) $100,000 (credit) $ 1,000 (credit) 0 A) The percent of credit sales method is used and the benchmark percentage is 2%. B) The aging of receivables method is used and the desired allowance balance is $2,000.
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Answer A Adjusting Journal Entry using the Percent of Credit Sales Method 1 Calc... View the full answer
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