P$6-7$

$($Chapter Supplement$)$ Recording Sales, Returns, and Bad Debts $($AP$6-7)$

Use the data presented in P$6-1,$ which were selected from the records of Sykes Company for the year ended December $31,$ current year.

Required:

Give the journal entries for these transactions, including the write$-$off of the uncollectible account and the adjusting eatry for estimated bad debte. Do not record cost of goods sold. Show computations for each entry.

Show how the accounts related to the preceding sale and collection activities should be reported on the current year income

LOS$-1,86-2$

Reporting Net Sales and Expenses with Discounts, Returns, and Bad Debts $(4$P$6\mathrm{.}1)$

The following data were welected from the records of Sykes Compuny for the jear ended Decenter $31,$ current year.

$\backslash$table$[[$Balasces Janary $1,$ carrent jear,$],[$Accounts receivable $($various customers$),$$$120,000$