Allowance for doubtful debts At the end of July, you estimated doubtful debts of $5000 should be recorded. The balance of the allowance for doubtful debts account is to increase by $5000. Manual Journal:

Narration: Increase allowance for doubtful debt for end of July 2020

Date: 2020-07-31

Auto Reversing N/A

Amounts are No Tax

For marking purposes, please make sure your manual journal narration is: Increase allowance for doubtful debt for end of July 2020

First line: Consider which account is debited

Second Line: Consider which account is credited