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Allowance method entries The following transactions were completed by Wild Trout Gallery during the current fiscal year ended December 31 Jan. 19. Reinstated the
Allowance method entries The following transactions were completed by Wild Trout Gallery during the current fiscal year ended December 31 Jan. 19. Reinstated the account of Arlene Gurley, which had been written off in the preceding year as uncollectible. Journalize the receipt of $2,725 cash in full payment of Arlene's account. Apr. 3. Wrote off the $15,610 balance owed by Premier GS Co., which is bankrupt. July 16. Received 45% of the $28,000 balance owed by Hayden Co., a bankrupt business, and wrote off the remainder as uncollectible. Nov. 23. Reinstated the account of Harry Carr, which had been written off two years earlier as uncollectible. Recorded the receipt of $4,440 cash in full payment. Dec 31. Dec 31. Wrote off the following accounts as uncollectible (compound entry): Cavey Co. $11,745; Fogle Co., $3,490; Lake Furniture, $8,965: Melinda Shryer $2.535. Based on an analysis of the $1,382,300 of accounts receivable, it was estimated that $60,100 will be uncollectible. Journalize the adjusting entry. Required: 1. Record the January 1 credit balance of $57,200 in a T account presented below in requirement 25 for Alowance for Doubtful Accounts 2. a. Journalize the transactions. If an amount box does not require an entry, leave it blank. Note: For the December 31 adjusting entry, assume the $1,382,300 balance in accounts receivable reflects the adjustments made during the year. Jan. 19-reinstate Accounts Receivable-Arlene Gurley Allowance for Doubtful Accounts Jan. 19-collection Cashi Accounts Receivable Arlene Gurley Apr. 3 Allowance for Doubtful Accounts
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