Assume All-Fresh Foods, Inc., experienced the following revenue, sales returns and allowances, and accounts receivable write-offs: Suppose All-Fresh estimates that 2½% of (gross) revenues will

Question

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Assume All-Fresh Foods, Inc., experienced the following revenue, sales returns and allowances, and accounts receivable write-offs:

Suppose All-Fresh estimates that 2½% of (gross) revenues will become uncollectible. Assume all revenues are on credit.

Requirement
1. Journalize service revenue (all on account), bad-debt expense, sales returns and allowances, and write-offs during May. Includeexplanations.

Accounts Reccivable Write-Offs in Month Service Saleg Month Revenue Returns March April March S 3,750 April May Totals $138 97 53 $288 S50 S 88 3,950 64 S33 53 S86 May4050 S106 $11,750 $106 s50 S152