Can someone help me with this please? I just need it checked to make sure I am doing it correctly and I need an explanation on how to find out how to do h on year two please. I know I needed to do something with year 2's allowance for doubtful accounts but not sure what else is needed or how to find it.
Year 1 a. Sold $1,353,000 of merchandise (that had cost $977,000) on credit, terms n/30. b. Wrote off $18.300 of uncollectible accounts receivable. c. Received $672.500 cash in payment of accounts receivable. d. In adjusting the accounts on December 31, the company estimated that 1.30% of accounts receivable would be uncollectible. Year 2 e. Sold $1.549.800 of merchandise (that had cost $1321,700) on credit, terms n/30. f. Wrote off $27.600 of uncollectible accounts receivable. g. Received $1,106.800 cash in payment of accounts receivable. h. In adjusting the accounts on December 31, the company estimated that 1.30% of accounts receivable would be uncollectible. Required: Prepare journal entries to record Liang's Year 1 and Year 2 summarized transactions and its year-end adjustments to record bad debts expense. (The company uses the perpetual inventory system and it applies the allowance method for its accounts receivable.) (Round your Intermediate calculations to the nearest dollar.) Complete this question by entering your answers in the tabs below. JE Year 1 JE Year 2 Prepare journal entries to record Liang's Year 1 summarized transactions and its year-end adjustments to record bad debts expense. (The company uses the perpetual inventory system and it applies the allowance method for its accounts receivable.) View transaction list View journal entry worksheet No General Journal Debit Credit Transaction a(1) 1 Accounts receivable 1,353,000 Sales 1,353,000 2 a(2) 977.000 Cost of good sold Merchandise inventory 977,000 3 b. 18,300 Allowance for doubtful accounts Accounts receivable 18,300 4 C. Cash 672.500 Accounts receivable 672,500 5 d. Bad debts expense 8,609 Year 1 a. Sold $1,353,000 of merchandise (that had cost $977,000) on credit, terms n/30. b. Wrote off $18,300 of uncollectible accounts receivable. c. Received $672.500 cash in payment of accounts receivable. d. In adjusting the accounts on December 31, the company estimated that 1.30% of accounts receivable would be uncollectible. Year 2 e. Sold $1.549.800 of merchandise (that had cost $1,321,700) on credit, terms n/30. f. Wrote off $27.600 of uncollectible accounts receivable. g. Received $1,106.800 cash in payment of accounts receivable. h. In adjusting the accounts on December 31, the company estimated that 1.30% of accounts receivable would be uncollectible. Required: Prepare journal entries to record Liang's Year 1 and Year 2 summarized transactions and its year-end adjustments to record bad debts expense. (The company uses the perpetual inventory system and it applies the allowance method for its accounts receivable.) (Round your Intermediate calculations to the nearest dollar.) Complete this question by entering your answers in the tabs below. JE Year 1 JE Year 2 Prepare journal entries to record Liang's Year 2 summarized transactions and its year-end adjustments to record bad debts expense. (The company uses the perpetual inventory system and it applies the allowance method for its accounts receivable.) View transaction list View journal entry worksheet No Transaction General Journal Debit Credit 1 e(1) 1.549.800 Accounts receivable Sales 1.549,800 2 e(2) 1,321,700 Cost of good sold Merchandise inventory 1,321,700 3 f. 27.600 Allowance for doubtful accounts Accounts receivable 27,600 Cash 1.100,800 Accounts receivable 1,100.800 5 h. Bad debts expense 14.009
