Entries for bad debt expense under the direct write oft and allowance methods Instructions Chart of Accounts Journal Final Question Instructions The following selected transactions were taken from the records of Shipway Company for the first year of its operations ending December 13 Wrote off account of Dean Sheppard, 58,360. Apr May 15 Received 3470 as partial payment on the $7.120 account of Dan Pyle. Wrole off the remaining balance as uncollectible. July 27 Received $8,360 from Dean Sheppard, whose account had been written off on April 13. Reinstated the account and recorded the cash receipt. Dec. 31 Wrote off the following accounts as uncollectible (record as one journal entry) Paul Chapman Duane DeRosa Teresa Galloway $2,375 3.560 4,665 1.260 1,795 Emie Klatt Marty Richey If necessary, record the year-end adjusting entry for uncollectible accounts 14 31 Previous Next > No Check My Work uses E Calculator Instruction Paul Chapman Duane DeRosa $2,375 Teresa Galloway 3,560 4,665 Emie Klatt 1,260 Marty Richey 1,795 31 If necessary, record the year-end adjusting entry for uncollectible accounts Required: A Joumalize the transactions under the direct write-off method. If no entry is required, simply skip to the next transaction Refer to the Chart of Accounts for exact wording of account titles B. Journalize the transactions under the allowance method. Shiway Company uses the percent of credit sales method of estimating uncollectible accounts expense. Based on past history and industry averages, 0.85% of credit sales are expected to be uncollectible. Shipway Company recorded $3,836,000 of credit sales during the year. If no entry is required, simply skip to the next transaction. Refer to the Chart of Accounts for exact wording of account titles C. How much higher (lower) would Shipway Company's net income have been under the direct write-off method than under the allowance method? No Check My Work uses Access e r The Notices Centre Technical Support | Nelson Technical Support