Northern, Inc., uses the allowance method of recording uncollectible accounts expense. The following information was obtained from Northern’s records for the current year.

Instructions:

1. Journalize the transactions above that were completed during the current year. Use page 1 of a general journal and page 1 of a cash receipts journal. Source documents are abbreviated as follows: memorandum, M; receipt, R.

2. Journalize the adjusting entry for uncollectible accounts expense on December 31 of the current year.
Northern estimates that the amount of uncollectible accounts expense is equal to 1% of its net sales of \($377,539.58.\)

3. Compute the accounts receivable turnover and average days for payment.

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Account Accounts Receivable January 1 $49,576.17 Allowance for Doubtful Accounts $ 1,463.89 December 31 $ 62,791.30 $ 3,813.98 $349,562.10 Net Sales on Account Transactions: Jan. 9. Wrote off Jane Martinez's past due account as uncollectible, $634.65. M20. Mar. 4. Wrote off Jason Young's past due account as uncollectible, $782.50. M29. Mar. 28. Received cash in full payment of Jane Martinez's account, previously written off as uncollectible, $634.65. M40 and R24. June 20. Wrote off Allison Aanerud's past due account as uncollectible, $617.16. M58. Oct. 7. Wrote off Meredith Darst's past due account as uncollectible, $808.15. M74. Dec. 11. Received cash in full payment of Jason Young's account, previously written off as uncollectible, $782.50. M82 and R92.