Question
At 31 December 2010 the unadjusted balance in Allowance for Doubtful Debts is a credit of $12,000 Required (a) Journalise and post the adjusting entry
At 31 December 2010 the unadjusted balance in Allowance for Doubtful Debts is a credit of $12,000 Required (a) Journalise and post the adjusting entry for bad debts at 31 December 2010. (b) Journalise and post to the allowance account these 2011 events and transactions. (Use running-balance format.) 1. 31 March, a $500 customer balance originating in 2010 is determined to be uncollectable. 2. 31 May, a cheque for $500 is received from the customer whose account was written off as uncollectable on 31 March. (c) Journalise the adjusting entry for bad debts at 31 December 2011, assuming that the unadjusted balance in Allowance for Doubtful Debts is a debit of $800 and the ageing schedule indicates that total estimated bad debts will be $30 300.
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