Entries for bad debt expense under the direct write-off and allowance methods Seaforth International wrote off...

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Entries for bad debt expense under the direct write-off and allowance methods Seaforth International wrote off the following accounts receivable as uncollectible for the year ending December 31: Customer Amount Kim Abel $24,000 Lee Drake 30,100 Jenny Green 29,700 Mike Lamb 18,000 Total $101,800 The company prepared the following aging schedule for its accounts receivable on December 31: Aging Class (Number of Days Past Due) Receivables Balance on December 31 Estimated Percent of Uncollectible Accounts 0-30 days 31-60 days 61-90 days $735,000 280,000 1% 2 113,000 15 91-120 days 70,000 30 More than 120 days 91,000 60 91-120 days More than 120 days 70,000 30 91,000 60 88 $1,289,000 a. Journalize the write-offs under the direct write-off method. If an amount box does not require an entry, leave it blank. Total receivables 10000 b. Journalize the write-offs and the year-end adjusting entry under the allowance method, assuming that the allowance account had a beginning balance of $87,400 and the company uses the analysis of receivables method. If an amount box does not require an entry, leave it blank. b. Journalize the write-offs and the year-end adjusting entry under the allowance method, assuming that the allowance account had a beginning balance of $87,400 and the company uses the analysis of receivables method. If an amount box does not require an entry, leave it blank. Alpha-numeric input field 38 c. How much higher (lower) would Seaforth International's net income have been under the allowance method than under the direct write-off method? Entries for bad debt expense under the direct write-off and allowance methods Seaforth International wrote off the following accounts receivable as uncollectible for the year ending December 31: Customer Amount Kim Abel $24,000 Lee Drake 30,100 Jenny Green 29,700 Mike Lamb 18,000 Total $101,800 The company prepared the following aging schedule for its accounts receivable on December 31: Aging Class (Number of Days Past Due) Receivables Balance on December 31 Estimated Percent of Uncollectible Accounts 0-30 days 31-60 days 61-90 days $735,000 280,000 1% 2 113,000 15 91-120 days 70,000 30 More than 120 days 91,000 60 91-120 days More than 120 days 70,000 30 91,000 60 88 $1,289,000 a. Journalize the write-offs under the direct write-off method. If an amount box does not require an entry, leave it blank. Total receivables 10000 b. Journalize the write-offs and the year-end adjusting entry under the allowance method, assuming that the allowance account had a beginning balance of $87,400 and the company uses the analysis of receivables method. If an amount box does not require an entry, leave it blank. b. Journalize the write-offs and the year-end adjusting entry under the allowance method, assuming that the allowance account had a beginning balance of $87,400 and the company uses the analysis of receivables method. If an amount box does not require an entry, leave it blank. Alpha-numeric input field 38 c. How much higher (lower) would Seaforth International's net income have been under the allowance method than under the direct write-off method?