question 3

Required information Problem 7-2A (Algo) Estimating and reporting bad debts LO P2, P3 [The following information applies to the questions displayed below.) At December 31, Hawke Company reports the following results for its calendar year. Cash sales Credit sales $1,985,750 $3,330,000 In addition, its unadjusted trial balance includes the following items. Accounts receivable Allowance for doubtful accounts $1,008, 998 debit $ 24,880 debit Problem 7-2A (Algo) Part 3 3. An aging analysis estimates that 5% of year end accounts receivable are uncollectible. Show how Accounts Receivable and the Allowance for Doubtful Accounts appear on its December 31 balance sheet (Do not round intermediate calculations.) Current assets