Question
At the end of the current year, Accounts Receivable has a balance of $430,000, Allowance for Doubtful Accounts has a debit balance of $4,000, and
At the end of the current year, Accounts Receivable has a balance of $430,000, Allowance for Doubtful Accounts has a debit balance of $4,000, and sales for the year total $1,940,000. Bad debt expense is estimated at 1/4 of 1% of sales. a. Determine the amount of the adjusting entry for uncollectible accounts. $fill in the blank 1 b. Determine the adjusted balances of Accounts Receivable, Allowance for Doubtful Accounts, and Bad Debt Expense. Adjusted Balance Debit (Credit) Accounts Receivable $fill in the blank 2 Allowance for Doubtful Accounts $fill in the blank 3 Bad Debt Expense $fill in the blank c. Determine the net realizable value of accounts receivable.
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