Problem 9-2A

lee i ~ O D _ @ ntal Accounting Principles 23rd Edition 412 Chapter 9 Accounting for Roceivables At December 31. 2017, Hawke Company reports the following results for its calendar year Problem 9-2A Estimating and reporting bad debts P2 P3 Cash sales.. Credit sales $1,905.000 5,682.000 In addition, its unadjusted trial balance includes the following items. Accounts recetvable.. Allowance for douttful accourts $1,270,100 debit 16,580 debt Required 1. Prepare the adjusting entry for this company to recognize bad dehts under cach of the following inde pendent assumptions a. Bad debts are estimaied to be 1.5% ofcredit sales. b. Bad debts are estimated to be 1% of total sales. e. An aging analysis estimates that 5% of year-end accounts receivable are uncollectible Check Bad Debrs Expense o) $B5.230, (14) $80,085 2. Show how Accounts Receivable and the Allowance for Doubeful Accounts appear ris Decembe ri 2017, balance sheet given the facts in part la 3. Show how Accounts Receivable and the Allowance for Doubtful Accounts appear on its December 31 2017, balance sheet given the facts in part lc