29.

On January 1, 2013, the balance in Kubera Co.'s Allowance for Bad Debts account was $1,350. During the year, a total of $3,655 of delinquent accounts receivable was written off as bad debts. The balance in the Allowance for Bad Debts account at December 31, 2013, was $1,400.

Required:

(a)	What was the total amount of bad debts expense recognized during the year? (Hint: Make a T-account for the Allowance for Bad Debts account.)

Bad Debt Expenses: $____________

(b)	As a result of a comprehensive analysis, it is determined that the December 31, 2013, balance of Allowance for Bad Debts should be $4,360. Show the adjustment required in journal entry format.

Event	General Journal Debit	Credit