Swathmore Clothing Corporation grants its customers 30 days' credit. The company uses the allowance method for...

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Swathmore Clothing Corporation grants its customers 30 days' credit. The company uses the allowance method for its uncollectible accounts receivable. During the year, a monthly bad debt accrual is made by multiplying 2% times the amount of credit sales for the month. At the fiscal year-end of December 31, an aging of accounts receivable schedule is prepared and the allowance for uncollectible accounts is adjusted accordingly. At the end of 2023, accounts receivable were $610,000 and the allowance account had a credit balance of $74,000. Accounts receivable activity for 2024 was as follows: Beginning balance Credit sales Collections Write-offs Ending balance $ 610,000 2,800,000 (2,663,000) (57,000) $ 690,000 The company's controller prepared the following aging summary of year-end accounts receivable: Summary Age Group Amount Percent Uncollectible 0-60 days $ 460,000 4% 61-90 days 78,000 15 91-120 days 67,000 26 Over 120 days 85,000 41 Total $ 690,000 Required: 1. Prepare a summary journal entry to record the monthly bad debt accrual and the write-offs during the year. 2. Prepare the necessary year-end adjusting entry for bad debt expense. 3-a. What is total bad debt expense for 2024? 3-b. How would accounts receivable appear in the 2024 balance sheet? Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req 3A Req 3B Prepare a summary journal entry to record the monthly bad debt accrual and the write-offs during the year. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. View transaction list Journal entry worksheet 1 2 Record a summary entry to record the monthly bad debt accrual. Note: Enter debits before credits. Event General Journal Debit Credit 1 Bad debt expense 56,000 Allowance for uncollectible accounts 56,000 Record entry Clear entry View general journal < Req 1 Req 2 > Req 1 Req 2 Req 3A Req 3B Prepare a summary journal entry to record the monthly bad debt accrual and the write-offs during the year. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. View transaction list Journal entry worksheet < 1 2 Record a summary entry to record the 2024 write-offs. Note: Enter debits before credits. Event General Journal Debit Credit 2 Allowance for uncollectible accounts 57,000 Accounts receivable 57,000 Record entry Clear entry < Req 1 View general journal Req 2 > Req 1 Req 2 Req 3A Req 3B Prepare the necessary year-end adjusting entry for bad debt expense. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. View transaction list Journal entry worksheet < 1 Record the year-end adjusting entry for bad debt expense. Note: Enter debits before credits. Event 1 General Journal Debit Credit Record entry Clear entry View general journal < Req 1 Req 3A > > Req 1 Req 2 Req 3A Req 3B What is total bad debt expense for 2024? Bad debt expense < Req 2 Req 3B > Req 1 Req 2 Req 3A Req 3B How would accounts receivable appear in the 2024 balance sheet? Balance Sheet (partial) Current assets: Accounts receivable (net) < Req 3A Req 3B > Swathmore Clothing Corporation grants its customers 30 days' credit. The company uses the allowance method for its uncollectible accounts receivable. During the year, a monthly bad debt accrual is made by multiplying 2% times the amount of credit sales for the month. At the fiscal year-end of December 31, an aging of accounts receivable schedule is prepared and the allowance for uncollectible accounts is adjusted accordingly. At the end of 2023, accounts receivable were $610,000 and the allowance account had a credit balance of $74,000. Accounts receivable activity for 2024 was as follows: Beginning balance Credit sales Collections Write-offs Ending balance $ 610,000 2,800,000 (2,663,000) (57,000) $ 690,000 The company's controller prepared the following aging summary of year-end accounts receivable: Summary Age Group Amount Percent Uncollectible 0-60 days $ 460,000 4% 61-90 days 78,000 15 91-120 days 67,000 26 Over 120 days 85,000 41 Total $ 690,000 Required: 1. Prepare a summary journal entry to record the monthly bad debt accrual and the write-offs during the year. 2. Prepare the necessary year-end adjusting entry for bad debt expense. 3-a. What is total bad debt expense for 2024? 3-b. How would accounts receivable appear in the 2024 balance sheet? Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req 3A Req 3B Prepare a summary journal entry to record the monthly bad debt accrual and the write-offs during the year. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. View transaction list Journal entry worksheet 1 2 Record a summary entry to record the monthly bad debt accrual. Note: Enter debits before credits. Event General Journal Debit Credit 1 Bad debt expense 56,000 Allowance for uncollectible accounts 56,000 Record entry Clear entry View general journal < Req 1 Req 2 > Req 1 Req 2 Req 3A Req 3B Prepare a summary journal entry to record the monthly bad debt accrual and the write-offs during the year. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. View transaction list Journal entry worksheet < 1 2 Record a summary entry to record the 2024 write-offs. Note: Enter debits before credits. Event General Journal Debit Credit 2 Allowance for uncollectible accounts 57,000 Accounts receivable 57,000 Record entry Clear entry < Req 1 View general journal Req 2 > Req 1 Req 2 Req 3A Req 3B Prepare the necessary year-end adjusting entry for bad debt expense. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. View transaction list Journal entry worksheet < 1 Record the year-end adjusting entry for bad debt expense. Note: Enter debits before credits. Event 1 General Journal Debit Credit Record entry Clear entry View general journal < Req 1 Req 3A > > Req 1 Req 2 Req 3A Req 3B What is total bad debt expense for 2024? Bad debt expense < Req 2 Req 3B > Req 1 Req 2 Req 3A Req 3B How would accounts receivable appear in the 2024 balance sheet? Balance Sheet (partial) Current assets: Accounts receivable (net) < Req 3A Req 3B >