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At the end of its annual accounting period, Midi Company estimated its bad debts as 0.70% of its $1,700,000 of credit sales made during the
At the end of its annual accounting period, Midi Company estimated its bad debts as 0.70% of its $1,700,000 of credit sales made during the year. On December 31, Midi made an addition to its Allowance for Doubtful Accounts equal to that amount. On the following February 1, management decided that the $2,400 account of Catherine Hicks was uncollectible and wrote it off as a bad debt. Four months later, on June 5, Hicks unexpectedly paid the amount previously written off. Give the journal entries required to record these transactions. View transaction lit X 1 Record the entry for estimated bad debts. 2 Record the entry to written off amount due from Catherine Hicks 3 Record the entry to reinstate Catherine Hicks account previously written off * Record the receipt from Catherine Hicks. Credit Note: - Journal entry has been entered Record entry Clear entry View general Jurnal
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