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Borke Company has a credit balance of $3,330 in Allowance for Doubtful Accounts. The estimated bad debt expense under the percentage-of-sales basis is $4,390. The
Borke Company has a credit balance of $3,330 in Allowance for Doubtful Accounts. The estimated bad debt expense under the percentage-of-sales basis is $4,390. The total estimated uncollectibles under the percentage-of-receivables basis is $5,930. Prepare the adjusting entry under each basis. (Credit account titles are automatically indented when the amount is entered. Do not indent manually.)
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