Outdoor Equipment (OE) sells camping equipment. On December 1, the accounts receivable account had a balance of
Question:
Outdoor Equipment (OE) sells camping equipment. On December 1, the accounts receivable account had a balance of $50,000, the bad debt expense account had a balance of $0, and the allowance for doubtful accounts had a credit balance of $5,000. Journalize the remaining journal entries for the 2020 year.
Required
1. Prepare journal entries to record the transactions. Note: write-off of uncollectible accounts for Rocky Co. and Grouse Co. should be posted separately.
2. Draw and fill in the T-account for accounts receivable, bad debt expense, and allowance for doubtful accounts. Determine the ending balance for each account.
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Related Book For
Fundamental Accounting Principles Volume I
ISBN: 978-1260305821
16th Canadian edition
Authors: Kermit Larson, Tilly Jensen, Heidi Dieckmann
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