Question
1. On December 31, 2013, when its Allowance for Doubtful Accounts had a debit balance of $1,400, Hunt Co. estimates that 9% of its accounts
1. On December 31, 2013, when its Allowance for Doubtful Accounts had a debit balance of $1,400, Hunt Co. estimates that 9% of its accounts receivable balance of $90,000 will become uncollectible and records the necessary adjustment to Allowance for Doubtful Accounts. 2. On May 11, 2014, Hunt Co. determined that J. Byrds account was uncollectible and wrote off $1,200. 3. On June 12, 2014, Byrd paid the amount previously written off. Prepare the journal entries on December 31, 2013, May 11, 2014, and June 12, 2014. Please use the format in the photo below. Thanks!
I have provided a list of accounts for you to use. Accounts Payable Accounts Receivable Accumulated Depreciation-Equipment Allowance for Doubtful Accounts Bad Debt Expense Cash Common Stock Cost of Goods Sold Dividends Income Tax Expense Income Taxes Payable Interest Receivable Interest Revenue Inventory No Entry Notes Receivable Other Operating Expenses Other Receivables Retained Earnings Sales Discounts Sales Returns and Allowances Sales Revenue Service Charge Expense Supplies Supplies Expense
No. Date Account Titles and Explanation Debit Credit 2 (To reinstate account previously written off) SHOW LIST OF ACCOUNTSStep by Step Solution
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