At December 31, 2014, Goldstone Travel has an Accounts Receivable balance of $82,000. Allowance for Doubtful Accounts

Question:

At December 31, 2014, Goldstone Travel has an balance of $82,000. Allowance for Doubtful Accounts has a credit balance of $730 before the year-end adjustment. Credit Service Revenue for 2014 was $795,000. Goldstone Travel estimates that Doubtful-Account Expense for the year is 2% of credit service revenue. Make the December 31 entry to record Doubtful-Account Expense. Show how the and the Allowance for Doubtful Accounts are reported on the at December 31, 2014.

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... Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...