On December 31, 2025, Ling Industries estimated that 2% of its net accounts receivable of 450,000 will

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On December 31, 2025, Ling Industries estimated that 2% of its net accounts receivable of ¥450,000 will become uncollectible (amounts in thousands). The company recorded this amount as an addition to Allowance for Doubtful Accounts. The allowance account had a zero balance before adjustment at December 31, 2025. On May 11, 2026, Ling determined that the Jeff Shoemaker account was uncollectible and wrote off ¥1,100. On June 12, 2026, Shoemaker paid the amount previously written off.

Instructions Prepare the journal entries on December 31, 2025, May 11, 2026, and June 12, 2026.

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Financial Accounting With International Financial Reporting Standards

ISBN: 9781119787051

5th Edition

Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso

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