2. b. Post each entry that affects the following T accounts and determine the new balances: 3. Determine the expected net realizable value of the accounts receivable as of December 31 (after all of the adjustments and the adjusting entry). x 4. Assuming that instead of basing the provision for uncollectible accounts on an arralysis of receivables, the adjusting entry on December 31 had been based on estimated expense of h of 1% of the sales of $5,640,000 for the year, determine the following: Providing for Doubthul Accounts At the end of the current yese, the accounts receivable account has a debit balance of $962,000 and sales for the year total 510,910,000. a. The allowance account before adjustment has a credit balance of $13,000. Bad debt expense is estimated at 1/4 of 1% of sales b. The allowance account before adjustment has a credit balance of $13,000. An aging of the occounts in the custamer ledger indicates estimated doubtful accounts of 341,600 . c. The allowance sccount before adjustment has a debit balance of $7,200. Bad debt expense is estimated at 3/4 of 1% of sales. d. The allowance account before odjustment has a debit balance of $7,200. An aging of the accounts in the customer ledger indicates estimated doubtful accounts of $59,800. Determine the amount of the adjusting entry to provide for doubtful accounts under each of the assumptions (a throwgh d) Ested above. a. 1 b. 1 c. x d. x 3. Determine the expected net realizable value of the accounts recelvabin as of December 31 (after all of the adjustments and the adjusting entry). x 4. Assuming that instead of basing the provision for uncollectible accounts on an analysis of receivables, the adjusting entry on December 31 had been based on an estimated expense of h of 1% of the sales of $5,640,000 for the year, determine the following: a. Bad debt expense for the year: x b. Balance in the allowance account after the adjustment of December 31 . x c. Expected net realizable value of the accounts receivable as of December 31 (after all of the adjustments and the adjusting entry). x 1. Record the lanuary 1 credit balance of $37,800 in a T account presented below in requirement 2b for Allowance for Doubctul Accounts. 2. a. Joumalize the transactions. For a compound transaction, if an amount box does not require an entry, leave if blank. Note: For the December a1 adjusting entry assume the $913,100 balance in accounts receivabie reflects the adjustments made durina the vear. Nov. 23-reinstate Accounts Receivable-Harry Carr Allowance for Doubtful Accounts Nov. 23-collection Cash Accounts Receivable-Harry Carr Dec. 31-write-off Allowance for Doubtful Accounts Accounts Receivable-Cavey Co. Accounts Receivable-Fogle Co Accounts Receivable-Lake Furniture v Accounts Receivable-Melinda Shryer Dec, 31-adjusting Bad Debt Expense v Allowance for Doubtful Accounts 2,935 2,935 2,935 2,935 x Entries Related to Uncollectible Accounts The follawing transactions were campleted by The Wild Trout Gallery during the current fiscal year ended December 31 : 3an, 19. Reinstated the account of Arlene Gurley, which had been written off in the preceding year as uncoliectible, journalized the receipe of $1,800 cash in full payment of Arlene's account. ADF. 3. Wrote off the $10,310 batance owed by Premier GS C0., which is bankrupt. July 16. Received 25% of the $18,500 balance owed by Hayden Co0 a bankrupt business, and wrote off the remainder as uncollectible. Nov 23. Reinstated the account of Harry Carr, which had been written off two years earlier as uncollectuble. Recorded the receipt of $2,935 cash in full payment. Dec. 31. Wrote off the following accounts as uncollectible (one entry): Covey C0., 37,760 ; Fogle Co, $2,305; Lake Furniture, 55,920 ; Melinda Shryer, $1,675, Dec. 31. Based on an analysis of the $913,100 of accounts receivable, it was estimated that $39,700 will be uncollectible. Journalized the adjusting entry. Required: 1. Record the January 1 credit batance of $37,800 in a T account presented below in requirement 2b for Allowance for Doubtful Accounts: 2. a. Journalize the transactions. For a compound transaction, if an amount box does not requare an entry, leave it blank, Note: For the December a1 adjusting entry assume the $913,100 balance in accounts receivable reflects the adjustments made during the year Jan, 19:reinstate Jan. 19-coliection