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2. Entries for bad debt expense A trial balance before adjustment included the following: Debit Credit Accounts receivable $800,000 Allowance for doubtful accounts $10,200 Sales
2. Entries for bad debt expense
A trial balance before adjustment included the following:
Debit Credit
Accounts receivable $800,000
Allowance for doubtful accounts $10,200
Sales $3,250,000
Sales returns and allowances 50,000
Give journal entries assuming that the estimate of uncollectibles is determined by taking (1) 6% of gross accounts receivable and (2) 1% of net sales.
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