Aaron Servicing showed the following partial unadjusted results at October 31,2020 its year end is

Assuming Aaron estimates bad debts to be 1.5% of sales, prepare the adjusting entry at October 31,2020

Show how accounts receivable would be shown on the October 31,2020, balance sheet using your calculations in the above part

Assume that Aaron estimates bad debts to be 5% of outstanding accounts receivable. Prepare the adjusting entry at October 31,2020

Show how account receivable would be shown on the October 31,2020 balance sheet using your calculations from the above part

Debit Account Sales Accounts receivable Allowance for doubtful accounts Credit $1,680,000 $151,000 3,200 Journal entry worksheet