Blossom Ltd$.$ has been in business for several years and has the following information for its operations which ended

December $31,2024$:

Total sales for the year were $$3,560,000,$ of which $60\%$ were on account.

The company estimates that total expected credit losses at December $31,2024$ will be $$96,120.$

Blossom Ltd$.$ began the year with $$650,000$ in accounts receivable and a normal credit to the allowance for

expected credit losses of $$68,000.$

Blossom Ltd$.$ writes off customer accounts that have been outstanding for more than $120$ days. During the

year, accounts with a carrying amount of $$77,000$ reached the $120-$day mark and were written off.

The company uses a collection agency to try to collect accounts that have been written off. The collection

agency was able to collect $$22,000$ from customers whose accounts had previously been written off.

During the year the company collected $$1,820,000$ of its accounts receivable.

Prepare a summary journal entry for the credit sales and journal entries to record the above transactions on the

books of Blossom Ltd$.$ on December $31,2024.($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 $0$ for the amounts. List all debit entries before credit entries.$)$

Account Titles and Explanation

Debit

Credit

$($To record credit sales$)$

$($To recognize the credit losses$)$

$($To write off accounts judged uncollectible$)$

$($To reinstate an account that was previously

written off$)($To record subsequent collection of accounts

that were previously written off$)$

$($To record collection of accounts receivable$)$

Calculate the Dec. $31,2024$ balances for Accounts receivable and the Allowance for Expected Credit Losses.

Accounts receivable

Allowance for expected credit losses

$

How would accounts receivable be presented on the statement of financial position at December $31,2023$ and

$2024?$

BLOSSOM LTD$.$

Statement of Financial Position $($Partial$)$

$2024$

$

$

Net Accounts Receivable