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1. The entry to records write off of an uncollectible scount when using the direct write of method wolves debito Allowance for Bad Debts b.

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1. The entry to records write off of an uncollectible scount when using the direct write of method wolves debito Allowance for Bad Debts b. debit to Accounts Receivable credit to Cash d. debits to Bad Debts Expense A copy machine costs $45,000 when new and las secumulated depreciation of 544,000. Suppose your company sold the machine for $1,000. What is the result of the disposal transaction? No pain no los b. Loss of $1,000 c. Gain of $1,000 d. Loss of 545,000 10. Your company sells $180,000 (selling price) of goods and collects sales of tax of 1%. What current libility does the sales create? Sales revenue of $194,400 b. Uneamed Revenue of S194,400 c. Sales tax payable of $14.400. 4. Sales revenus of $180,000 IL (20") The December cash record of ABB Insurance follow: Cash Receints Cash Payments Date Cash Debit Check No. Cash Credit Dec 3 $ 4,150 2416 5 850 7 540 2417 160 16 560 2418 670 23 2,190 2419 1,690 31 1,870 2420 1.450 2421 1,200 2422 640 ABB Insurance's cash account shows a balance of $16,650 st December 31. On December 31, the compan received the following bank statement: Bank Statement for December Beginning Balance $14,000 Deposits and other Credits Checks and other Debits Dec 1 EFT S 400 Dec. 2 NSF S 700 4 4,150 11 Check NO. 2416 850 7 540 19 EFT 400 16 560 22 Check NO. 2417 160 24 2,190 29 Check NO. 2418 670 25 BC 1,700 31 Check NO. 2419 1,960 31 SC 10 Ending Balance S18,590 Notes: BC bank collection; EFT-electronic funds transfer, NSF nonsufficient funds check: SC-service charge Additional data for the bank reconciliation follows: The EFT credit was a receipt of rent. The EFT debit was an insurance payment b. The NSF check was received from a customer named Dunlap Chemical The $1,700 bank collection was for a note receivable. d. The correct amount of Check 2419 for rent expense is $1.940 instead of 51,490 on cash recor 1) Prepare the bank reconciliation for ABB Insurance as at December 31. 2) Journalize any required entries from the bank reconciliation. C

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