At the end of the current year, Accounts Receivable has a balance of $820,000; The provision for doubtful accounts has a credit balance of $7,500; and sales for the year total $3,690,000. Bad debt expense is estimated at 1/4 of 1% of sales.

1. Determine the amount of the adjustment entry for uncollectible accounts.

2. Determine the adjusted balances of Accounts Receivable, Allowance for Uncollectible Collection Accounts and Insolvency Expense.

accounts receivable	ps
Allowance for doubtful accounts	ps
Bad debt expenses	ps

3. Determine the net realizable value of accounts receivable.

Answer rating: 100% (QA)

1 The amount of the adjustment entry for uncollectible accounts is the d... View the full answer