At the end of the current year, the accounts receivable account has a debit balance of $932,000
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At the end of the current year, the accounts receivable account has a debit balance of $932,000 and sales for the year total $10,570,000.
- The allowance account before adjustment has a debit balance of $12,600. Bad debt expense is estimated at 1/4 of 1% of sales.
- The allowance account before adjustment has a debit balance of $12,600. An aging of the accounts in the customer ledger indicates estimated doubtful accounts of $40,300.
- The allowance account before adjustment has a credit balance of $7,300. Bad debt expense is estimated at 3/4 of 1% of sales.
- The allowance account before adjustment has a credit balance of $7,300. An aging of the accounts in the customer ledger indicates estimated doubtful accounts of $60,600.
Determine the amount of the adjusting entry to provide for doubtful accounts under each of the assumptions (a through d) listed above.
a. | $fill in the blank 1 |
b. | $fill in the blank 2 |
c. | $fill in the blank 3 |
d. | $fill in the blank 4 |
Related Book For
Accounting
ISBN: 9781337902687
28th Edition
Authors: Carl S. Warren, Christine Jonick, Jennifer Schneider
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