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Bonita Company in its first year of operations provides the following information related to one of its available - for - sale debt securities at
Bonita Company in its first year of operations provides the following information related to one of its availableforsale debt
securities at December
Your answer is correct.
Assume that the fair value of the availableforsale security is $ at December instead of $ What is
the amount of the credit loss that Bonita should report at December Do not leave any answer field blank. Enter
for amounts.
Amount of the credit loss $
d
Your answer is incorrect.
Assume the same information as for part c Prepare the journal entry to record the credit loss, if necessary and any
other adjustment needed at December 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
for the amounts.
Account Titles and Explanation
Debit
Credit
Bad Debt Expense
Allowance for Doubtful Accounts
I even attempted No Entry and it was incorrect. Just need help with part d
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