Wilsons Auto Repair ended 2011 with Accounts Receivable of $85,000 and a credit balance in Allowance for

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Wilson’s Auto Repair ended 2011 with Accounts Receivable of $85,000 and a credit balance in Allowance for Uncollectible Accounts balance of $11,000. During 2012, Wilson’s Auto Repair had the following activity:
a. Service revenue earned on account, $545,000.
b. Collections on account, $575,000.
c. Write-offs of uncollectibles, $19,000.
d. Bad debt expense, estimated as 3% of service revenue.
Journalize Wilson’s Auto Repair’s activity for 2012.

Accounts Receivable
Accounts receivables are debts owed to your company, usually from sales on credit. Accounts receivable is business asset, the sum of the money owed to you by customers who haven’t paid.The standard procedure in business-to-business sales is that...
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Related Book For  answer-question

Financial Accounting

ISBN: 978-0133052152

2nd edition

Authors: Robert Kemp, Jeffrey Waybright

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