Sanders Inc is a small brick manufacturer that uses the direct write off method to account for uncollectible accounts At the end of 2018, its balance for Accounts Receivable is $35,000 The company estimates that of this amount, $4,000 is not likely to be collected in 2019 In 2019, the actual amount...

December 31 2018 Debit Credit No entry ...

Sanders Inc. is a small brick manufacturer that uses the direct write-off method to account for uncollectible

Question:

Sanders Inc. is a small brick manufacturer that uses the direct write-off method to account for uncollectible accounts. At the end of 2018, its balance for is $35,000. The company estimates that of this amount, $4,000 is not likely to be collected in 2019. In 2019, the actual amount of bad debts is $3,000. Record, if necessary, an adjustment for estimated uncollectible accounts at the end of 2018 and the actual bad debts in 2019.
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...