Question: UPLOAD YOUR ANSWER AS A PDF FILE. The Broad Channel Company had a $600 credit balance in Allowance for Doubtful Accounts at December 31, 2022
UPLOAD YOUR ANSWER AS A PDF FILE. The Broad Channel Company had a $600 credit balance in Allowance for Doubtful Accounts at December 31, 2022 (this is the balance in the count before the current year's adjusting journal entry to record bad debts expense). An aging of the accounts receivable revealed the following: Estimated % Uncollectible Current Accounts $ 130,000 1-30 days past duc 000 31-60 days past due 10,000 61-90 days past duc 5,000 Over 90 days past due 8.000 Total Accounts Receivable $165.000 196 39 6% 129 30% Instructions: a) Prepare the adjusting entry on December 31, 2022, to recognize bad debts expense. OMIT EXPLANATIONS, b) Assume the same facts as above except that the Allowance for Doubtful Accounts had a $600 debit balance before adjustment. Prepare the adjusting entry to record the current year's bad debts expense. Che bone and Sant to add Chick Se All Auto alla
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
