Providing for doubtful accounts At the end of the current year, the accounts receivable account has...

 

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Providing for doubtful accounts At the end of the current year, the accounts receivable account has a debit balance of $1,935,000 and sales for the year total $26,710,000. a. The allowance account before adjustment has a debit balance of $10,200. Bad debt expense is estimated at 1/2 of 1% of sales. b. The allowance account before adjustment has a debit balance of $10,200. An aging of the accounts in the customer ledger indicates estimated doubtful accounts of $175,000. c. The allowance account before adjustment has a credit balance of $25,760. Bad debt expense is estimated at 3/4 of 1% of sales. d. The allowance account before adjustment has a credit balance of $25,760. An aging of the accounts in the customer ledger indicates estimated doubtful accounts of $170,420. Determine the amount of the adjusting entry to provide for doubtful accounts under each of the assumptions (a through d) listed above. a. 13355 X b. $164,800 X C. $20,025 X d. 144,660 V Providing for doubtful accounts At the end of the current year, the accounts receivable account has a debit balance of $1,935,000 and sales for the year total $26,710,000. a. The allowance account before adjustment has a debit balance of $10,200. Bad debt expense is estimated at 1/2 of 1% of sales. b. The allowance account before adjustment has a debit balance of $10,200. An aging of the accounts in the customer ledger indicates estimated doubtful accounts of $175,000. c. The allowance account before adjustment has a credit balance of $25,760. Bad debt expense is estimated at 3/4 of 1% of sales. d. The allowance account before adjustment has a credit balance of $25,760. An aging of the accounts in the customer ledger indicates estimated doubtful accounts of $170,420. Determine the amount of the adjusting entry to provide for doubtful accounts under each of the assumptions (a through d) listed above. a. 13355 X b. $164,800 X C. $20,025 X d. 144,660 V

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