At December $31,2025,$ the Accounts Receivable balance of Foley Distribution Service is $ $185$ comma $000.$ The Allowance for Bad Debts account has a $ $18$ comma $930$ debit balance. Foley Distribution Service prepares the following aging schedule for its accounts$$ receivable: At December $31,2025,$ the Accounts Receivable balance of Foley Distribution Service is $$185,000.$ The Allowance for Bad Debts account has a $$18,930$ debit balance

$=$oley Distribution Service prepares the following aging schedule for its accounts receivable:

View the aging schedule.

Read the requirements.

Requirement $1.$ Journalize the year$-$end adjusting entry for bad debts on the basis of the aging schedule. Show the T$-$account for the Allowance for Bad Debts at Deceml

$31,2025.$

Begin by determining the target balance of Allowance for Bad Debts by using the age of each account.

Journalize the year$-$end adjusting entry for bad debts on the basis of the aging schedule. $($Record debits first, then credits. Select the explanation on the last line of the

journal entry table.$)$ Servere is $$185,000.$ The Allowance for Bad Debts account has a $$18,930$ debit balan

View the aging schedule.

Read the requirements.

Dec. $31$

Show the T$-$account for the Allowance for Bad Debts at December $31,2025.$

Allowance for Bad Debts

Requirement $2.$ Show how Foley Distribution Service will report its net accounts receivable on its December $31,2025,$ balance sheet.

Balance Sheet $($Partial$)$:

Current Assets: Aging Schedule

Requirements

Journalize the year$-$end adjusting entry for bad debts on the basis of the aging

schedule. Show the T$-$account for the Allowance for Bad Debts at December

$31,2025.$

Show how Foley Distribution Service will report its net accounts receivable on

its December $31,2025,$ balance sheet.

View the aging schedule.LOADING...

Read the requirements.LOADING...