Benzton Inc had sales of $1,200,000 during 2015 Twenty five percent of these were cash sales In addition to the 2015 cash sales, $569,400 of the 2015 credit sales were collected during the year $30,000 of accounts receivable were written off as being uncollectible during 2015 The December 31, 2014 Allowance for Doubtful Accounts was $16,400 credit balance Also, the December 31, 2014 balance in the general ledger accounts receivable was $286,500 all of which was collected during 2015 In addition, $16,400 of the accounts that were written off during 2014 were unexpectedly collected during 2015 On December 31, 2015 Benzton completed an accounts receivable aging schedule The following schedule provides the percent of the total accounts receivable by the category number of days Category Age (days) Accounts Receivable Percentage 1 30 40 31 60 20 61 90 10 91 120 24 Over 120 6 Total 100 NOTE You will need to determine the accounts receivable December 31, 2015 balance and then you multiply the total accounts receivable amount by the above percentages Also, Benzton, based on 5 years of historical data, estimated the following percentages for each category that would be uncollectible at December 31, 2015 Category Age (days) Estimated Loss percentage 1 30 2 5 31 60 3 0 61 90 4 25 91 120 9 Over 120 45 Required NOTE WHEN APPLICABLE ROUND ALL CALCULATIONS AND FINAL ANSWERS TO THE NEAREST WHOLE DOLLAR Prepare journal entries to record the following 2015 transactions The write off of $30,000 The recovery of $16,400 Recalculate the balance in the Allowance for Doubtful Accounts general ledger account at December 31, 2015 Prepare the doubtful account adjusting entry to be recorded on December 31, 2015 for the accounts receivable that are estimated to be written off during 2016

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Benzton Inc. had sales of $1,200,000 during 2015. Twenty-five percent of these were cash sales. In addition to the 2015 cash sales, $569,400 of the

Benzton Inc. had sales of $1,200,000 during 2015. Twenty-five percent of these were cash sales. In addition to the 2015 cash sales, $569,400 of the 2015 credit sales were collected during the year. $30,000 of accounts receivable were written off as being uncollectible during 2015. The December 31, 2014 Allowance for Doubtful Accounts was $16,400 credit balance. Also, the December 31, 2014 balance in the general ledger accounts receivable was $286,500; all of which was collected during 2015. In addition, $16,400 of the accounts that were written off during 2014 were unexpectedly collected during 2015. On December 31, 2015 Benzton completed an accounts receivable aging schedule. The following schedule provides the percent of the total accounts receivable by the category number of days

Category Age (days)	Accounts Receivable Percentage
1-30	40
31-60	20
61-90	10
91-120	24
Over 120	6
Total	100

NOTE: You will need to determine the accounts receivable December 31, 2015 balance and then you multiply the total accounts receivable amount by the above percentages.

Also, Benzton, based on 5 years of historical data, estimated the following percentages for each category that would be uncollectible at December 31, 2015:

Category Age (days)	Estimated Loss percentage
1-30	2.5%
31-60	3.0%
61-90	4.25%
91-120	9%
Over 120	45%

Required: NOTE: WHEN APPLICABLE ROUND ALL CALCULATIONS AND FINAL ANSWERS TO THE NEAREST WHOLE DOLLAR!

Prepare journal entries to record the following 2015 transactions:

The write-off of $30,000
The recovery of $16,400

Recalculate the balance in the Allowance for Doubtful Accounts general ledger account at December 31, 2015.
Prepare the doubtful account adjusting entry to be recorded on December 31, 2015 for the accounts receivable that are estimated to be written-off during 2016.