Simon Company of Bathurst completed the following transactions:

Additional Data

Required
a. Journalize the transactions.
b. Post to Allowance for Doubtful Accounts, Income Summary, or Bad Debts Expense as needed.
c. Prepare a current assets section of the balance sheet. Ending balances needed: Cash, $24,000; Accounts Receivable, $170,000; Office Supplies, $3,000; Merchandise Inventory, $94,000; Prepaid Rent, $1,200; and your calculated balance for Allowance for Doubtful Accounts.

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2013 Jan. Sold merchandise on account to Lowe's Supply, $1,900 Wrote off the account of Kevin Reese as uncollectible because of his death, $700 Received $300 from J. James, whose account had been writ- ten off in 2012. The account was reinstated and the collec tion recorded. Received 20% of the $5,000 owed by Long Drug. The remainder was written off as uncollectible. The account of Morse's Garage was reinstated for $3,100 (amount received). The account was written off three years ago. Prepared a compound entry to write the following accounts off as uncollectible: Sal's Diner, $800; Ring Auto, $1,300; Neel's Hardware, $800. 8 15 Mar. 14 Apr. 9 June 13 Oct. 18 Nov. 12 Sold merchandise on account to Able Roy, $1,950. Dec. 3 On the basis of an aging of Accounts Receivable, it was esti- mated that $8,000 would be uncollectible out of a total of $170,000 in Accounts Receivable. 31 Closed Bad Debts Expense to Income Summary. Account No. Balance Dr./Cr. Cr.-Jan. 1, 2013 Allowance for Doubtful Accounts Income Sumnmary Bad Debts Expense 114 312 $3,300 612