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(b) Your answer is partially correct. Prepare the year-end adjusting journal entry to record the bad debts using the aged uncollectible accounts receivable determined above.
(b) Your answer is partially correct. Prepare the year-end adjusting journal entry to record the bad debts using the aged uncollectible accounts receivable determined above. Assume the unadjusted balance in Allowance for Doubtful Accounts is a $4,200 debit. (List debit entry before credit entry. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Account Titles and Explanation Allowance for Doubtful Accounts Accounts Receivable Debit 4200 Credit 4200 eTextbook and Media View Policies Show Attempt History Current Attempt in Progress Assume the following information for Teal Mountain Corp. Accounts receivable (beginning balance) $143,000 Allowance for doubtful accounts (beginning balance) 11,340 Net credit sales 930,000 Collections 912,000 Write-offs of accounts receivable 6,400 Collections of accounts previously written off 2,200 Uncollectible accounts are expected to be 6% of the ending balance in accounts receivable. (a) Your answer is correct. Prepare the entries to record sales and collections during the period. (List all debit entries before credit entries. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Account Titles and Explanation Accounts Receivable Sales Revenue (To record sales on account) Cashi Debit 930000 912000 Credit 930000 Accounts Receivable (To record collection of accounts receivable) eTextbook and Media 912000
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