An aging of a company's accounts receivable indicates that the estimate of uncollectible accounts totals $5,000. If Allowance for Doubtful Accounts has a $1,800 debit balance, the adjustment to record the bad debt expense for the period will require a

a.

credit to Allowance for Doubtful Accounts for $3,200

b.

credit to Allowance for Doubtful Accounts for $6,800

c.

debit to Bad Debt Expense for $5,000

d.

debit to Bad Debt expense for $1,800

Arpels Clinic purchased X-ray equipment for $50,000, paid $12,000 down, and will pay the remainder on account. Which of the following entries properly records this transaction?

a.

debit Equipment $50,000; credit Cash $12,000, credit Notes Payable $38,000

b.

debit Equipment $12,000; credit Cash $12,000

c.

debit Equipment $50,000; credit Cash $12,000, credit Accounts Payable $38,000

d.

debit Equipment $38,000; debit Cash $12,000, credit Accounts Payable $50,000

Arpels Clinic purchased additional X-ray equipment for $200,000, by issuing a 120 day note, discounted at 6%. Which of the following entries properly records this transaction?

	a.	debit Equipment $196,000; debit Interest Expense $4,000; credit Notes Payable $200,000
	b.	debit Equipment $194,000; debit Interest Expense $6,000; credit Notes Payable $200,000
	c.	debit Equipment $200,000; debit Interest Expense $4,000; credit Notes Payable $200,000; credit Interest Payable $4,000
	d.	debit Equipment $200,000; credit Notes Payable $200,000