Show Me How Entries for Uncollectible Receivables, using Allowance Method transactions in the accounts of Zippy Interiors Company, a restaurant supply company that uses the allowance method of accounting for uncollectible receivables: May 24 Sold merchandise on account to old Town Cafe $11,200. The cost of goods sold was $8,100. Sept. 30 Recelived $2,900 from Old Town Cafe and wrote off the remainder owed on the sale of May 24 as uncollectible Dec. 7 Reinstated the account of Old Town Cafe that had been written off on September 30 and received $8,300 cash in full payment. For a compound transaction, if an amount box does not require an entry, leave it blank. May 24-sale Accounts Receivable-Old Town Cafe y Cash May 24-cost Sept. 30 Dec. 7-reinstated Dec. 7-collection Previous Next Checdk My Work