Question: PROBLEM 1 Instructions: Prepare the appropriate general journal entries for each of the following situations (1) Net sales for the year are $800,000, bad debt

PROBLEM 1 Instructions: Prepare the appropriate general journal entries for each of the following situations (1) Net sales for the year are $800,000, bad debt expense is estimated at 3% of net sales, and the allowance account has a $425 credit balance before adjustment. Prepare the adjusting entry at year end for the uncollectibles. (2) Based on an analysis of accounts in the customers' ledger, estimated uncollectible accounts total $6,280, and the allowance account has a $325 credit balance before adjustment. Prepare the adjusting entry at year end for the uncollectibles. ble. The allowance method is used. months earlier, is collected in full. The allowance method is used. (3) A $3,500 account receivable from Bentley Co. is wrilten off as uncollecti- (4) A $1.235 account receivable from Apple Co., which was written off three JOURNAL PAGE 21

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!

Prepare the appropriate general journal entries for each of the following situations Net sales for the year are $800,000, uncollectible accounts expense is estimated at 3% of net sales, and the...

Question 2 19 marks) You are the bookkeeper of Mel Traders. You undertake a bank reconciliation at the end of every month. Mel Traders received its bank stafement for the month ending 31 May 2021....

Total gross sales for the period include the following: Credit card sales (discount 2 % ) Sales on account (2/15, n/60) S 10.000 $ 10,200 Sales returns related to sales on account were $200. All...

Question 1 (10 marks) Mac Ltd. provides legal advice to customers for fees. On 30 June 2020, Mac Ltd. completed its first year of operations. Some of the ledger account balances of the business,...

I need help with Part B.. Revenue -Expenses =Net Income Account Name $ Amount Account Name $ Amount $ Amount 0 Cash Non Cash Assets Liabilities Contributed Capital Earned Capital Account Name S...

Hydrogenics Corporation The Hydrogenics case is the first in a series of four cases that illustrate a comprehensive analysis of an international corporation. In this case the balance sheet will be...

Treat the following parts as three independent situations. Part 1 of 3 Lynbrook Automotive, Inc. applies the allowance method to record transactions relating to their accounts receivables. On...

finals study guide, just want to make sure i am doing everything correctly!!! For each of the accounts listed, indicate the category to which it belongs the normal balance, and the financial...

The construction in progress account is used to accumulate all costs of construction. What additional item is included in this account when percentage-of-completion accounting is followed?

Explain how to calculate the price-earnings ratio and describe how it is used in analysis of a company's financial condition and performance.

Boom, an investor advisor, is analyzing a company's ROE which is declining while the industry ROE is stable. Boom then reviewed the manager's notes in the Audit Report to assess if management has...

As spring approaches, John and Mary need to forecast the number of guests they will have in their trailer park. John s estimate is that in the new year they will have 9 0 0 guests. In addition, below...

=+2. After reviewing this textbook, what future trends and applications do you want to learn more about in social media? What steps do you want to take to get there?

=+What are some of the key training needs for line managers in an organization moving to decentralized HRM? Develop a list of new skills those line managers might need to take over certain HRM...

=+1. You are asked to write a post for your local agency about the top five trends that will be relevant for the next year. Research online and see what experts are talking about on the major media...