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Accounts receivable transactions are provided below for J Crane Co. Dec 31, 2020 The company estimated that 3% of its accounts receivable would become uncollectible.
Accounts receivable transactions are provided below for J Crane Co. Dec 31, 2020 The company estimated that 3% of its accounts receivable would become uncollectible. The balances in the Accounts Receivable account and Allowance for Doubtful Accounts were $684.000 and $3,000 (debit), respectively Mar. 5, 2021 The company determined that R. Mirza's $3,100 account and D. Wight's $6,900 account were uncollectible. The company's accounts receivable were $ 719,000 before the accounts were written off. June 6, 2021 Wight paid the amount that had been written off on March 5. The company's accounts receivable were $674,000 prior to recording the cash receipt for Wight. (a). Your answer is partially correct. Post the journal entries to Allowance for Doubtful Accounts and calculate the new balance after each entry. Balance 3000 Allowance for Doubtful Accounts Date Explanation Ref. Debit Credit Dec 31, 2020 Balance unadjusted Debit Dec 31, 2020 AJE 23520 Mar. 5, 2021 Write off Mirza 3100 Mar. 5, 2021 Write off Wight June 6, 2021 Reverse write off 6900
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