1. The LNMOP company has an Accounts Receivable balance of $200,000. The Allowance for Doubtful Accounts has a balance of $2000.

Given the following aging schedule journalize the adjusting entry for doubtful accounts.

1-30 31-60 61-90 over 90

135,000 50,000 10,000 5,000

1% 4% 10% 50%

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2. Using the Allowance Method prepare the necessary journal entries

a) Write off uncollectible receivables in the amount of $1000.

b) $1000 that was previously written off has been collected