a) there was an agreement between the Bill Murray (new investor) and the CEO to go ahead with the private placement. On 31 December 2021 Bill directly credited $50,000 cash into the company bank account in exchange for a parcel of shares. An electronic share certificate was emailed to Bill as soon as the money deposited was cleared in the companys bank account.

Create a general journal entry to record the private share placement.

b) Due to the current economic environment and concerns about customers paying their bills, you have decided to set up an Allowance for Doubtful Debts with a balance of $2.000.

Create a general journal entry to set up the Allowance for Doubtful Debts