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46 Gideon Company uses the allowance method of accounting for uncollectible accounts. On May 3, the Gideon Company wrote off the $2100 uncollectible account of
46
Gideon Company uses the allowance method of accounting for uncollectible accounts. On May 3, the Gideon Company wrote off the $2100 uncollectible account of its customer, A. Hopkins. The entry or entries Gideon makes to record the write off of the account on May 3 is: Multiple Choice Accounts Receivable-A. Hopkins 2,100 Allowance for Doubtful Accounts 2,100 2,100 Allowance for Doubtful Accounts Bad debts expense 2,100 2,100 Accounts Receivable-A. Hopkins Bad debts expense Cash Accounts Receivable-A. Hopkins 2,100 2,100 2,100 Allowance for Doubtful Accounts 2,10e Accounts Receivable-A. Hopkins 2,100 Cash 2, 100 2,100 Accounts Receivable-A. Hopkins Giorgio Italian Market bought $7000 worth of merchandise from Food Suppliers and signed a 90-day, 6 % promissory note for the $7,000. Food Supplier's journal entry to record the collection on the maturity date is: (Use 360 days a year.) Multiple Choice Debit Cash $7.105; credit Notes Recelvable $7,105 Debit Notes Recelva ble $7,000; credit Cash $7,000 Debit Cash $7000; debit Interest Recelvable $105; credit Sales $7.105 Debit Notes Recelvable $7105: credit Sales $7105 Debit Cash $7.105, credit Interesst Revenue $105; credit Notes Recelvable $7000Step by Step Solution
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