Bad Debt Expense Journal Entry

Instructions

Uncollectible Accounts$-$Percentage of Sales

Ryan's Express has total credit sales for the year of $$176,000$ and estimates that $3\%$ of its credit sales will be uncollectible. Record the period adjusting entry on December $31,$ in general journal form, for the estimated bad debt expense. Assume the following independen conditions existed prior to the adjustment:

Allowance for Doubtful Accounts has a credit balance of $$925.$ If an amount box does not require an entry, leave it blank.

Allowance for Doubtful Accounts has a debit balance of $$385.$ If an amount box does not require an entry, leave it blank.