Question: I need all solution please give me all answers Question 2 The ledger of G.K. Reid Company at the end of the current year shows
Question 2 The ledger of G.K. Reid Company at the end of the current year shows Accounts Receivable $120,000, Sales Revenue $840,000, and Sales Returns and Allowances $20,000. Instructions (a) If G.K. Reid uses the direct write-off method to account for uncollectible accounts, journalize the adjusting entry at December 31, assuming G.K. Reid determines that L. Gaga's. $1,400 balance is uncollectible. (b) If Allowance for Doubtful Accounts has a credit balance of $2,100 in the trial balance, journalize the adjusting entry at December 31, assuming bad debts are expected to be (1) 1% of net sales, and (2) 10% of accounts receivable. (c) If Allowance for Doubtful Accounts has a debit balance of $200 in the trial balance, journalize the adjusting entry at December 31, assuming bad debts are expected to be (1) 0.75% of net sales and (2) 6% of accounts receivable
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