CHAPTER 5 1. The following information pertains to Lindsey Corp. at the end of the year: Credit Sales $150,000 Accounts Payable 20,000 Accounts Receivable 30,000 Allowance for Uncollectible Accounts 800ldebit Cash Sales 5,500 Lindsey Corp. uses the percentage-of-credit-sales method and estimates that 2% of the credit sales are uncollectible. What amount of bad debt expense would Lindsey report for the year? 2. A company has the following balances on December 31, 2018, after year- end adjustments: Accounts Receivable = $62,000; Allowance for Uncollectible Accounts = $6,000. Calculate the net realizable value of accounts receivable. What is the year end adjustment assuming the allowance has a 600- credit balance GENERAL JOURNAL PAGE POST. REF. CREDIT DESCRIPTION DEBIT DATE 3. A company reports the following amounts at the end of the year (before any year-end adjustment). Credit sales for the year Accounts receivable Allowance for uncollectible accounts $120,000 36,000 1,500 (credit) Record the adjustment for uncollectible accounts ( 1) Using the percentage-of-receivables method, assuming the company estimates 10% of receivables will not be collected, (2) Using the percentage-of-credit-sales method, assuming the company estimates 2% of credit sales will not be collected. GENERAL JOURNAL PAGE POST. REF. CREDIT DEBIT DESCRIPTION DATE GENERAL JOURNAL PAGE POST. REF. CREDIT DEBIT DESCRIPTION DATE