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A company had the followinf items and amounts in its unadjusted trial balance for dec 31 of the current year 1) cash sale 18800 credit

A company had the followinf items and amounts in its unadjusted trial balance for dec 31 of the current year

1) cash sale 18800 credit 2) credit sales 275,000 credit 3) A/R 76,000 debit 4) allowance for doubtful accounts 1,000 credit

Prepare the adjustinf entry to estimate bad debt assuming an analysis estimated that 8% of the oustanding accounts receivable will be uncolleciabe

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