28. What is the normal journal entry when writing off an account as uncollectible under the allowance method? A) Debit Allowance for Doubtful Accounts, credit Accounts Receivable. B) Debit Allowance for Doubtful Accounts, credit Bad Debt Expense. C) Debit Bad Debt Expense, credit Allowance for Doubtful Accounts. D) Debit Accounts Receivable, credit Allowance for Doubtful Accounts. 29. Equestrian Roads sold $120,000 of goods and accepted the customer's $120,000 10%, 1-year note receivable in exchange. Assuming 10% approximates the market rate of return, what would be the debit in this journal entry to record the sale? A) No journal entry until cash is collected. B) Debit Notes Receivable for $120,000. C) Debit Accounts Receivable for $120,000. D) Debit Notes Receivable for $108,000. 30. When a company has cash available in another account in the same bank at which an overdraft has occurred, the company will: A) offset the overdraft against the cash account. B) report the same in the notes to the financial statement. C) report the bank overdraft amount as account payable. D) classify the bank overdraft as compensating balance. 31. Malone Corporation uses the perpetual inventory and the gross method. On March 1, it purchased $80,000 of inventory, terms 2/10, n/30. On March 3, Malone returned goods that cost $8,000. On March 9, Malone paid the supplier. On March 9, Malone should credit A) purchase discounts for $1,600. B) inventory for $1,600. C) purchase discounts for $1,440. D) inventory for $1,440. 32. The following information is available for Naab Company for 2021: Freight-in Purchase returns Selling expenses Ending inventory $ 60,000 150,000 460,000 $20,000 The cost of goods sold is equal to 400% of selling expenses. What is the cost of goods available for sale? A) $1,840,000. B) $2,300,000. C) $2,370,000. D) $2,360,000.