Chipman Sofware recently reported the following amounts in its unadjusted trial balance at its year-end: Accounts...
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Chipman Sofware recently reported the following amounts in its unadjusted trial balance at its year-end: Accounts Receivable Allowance for Doubtful Accounts Sales (assume all on credit) Debits $ 3,200 Credits $ 28 46,000 Required: 1. Prepare the adjusting journal entry required for the year. Assume Chipman uses 1/2 of 1 percent of sales to estimate its Bad Debt Expense for the year and no Bad Debt Expense has been recorded yet. 2. Prepare the adjusting journal entry required for the year. Assume instead that Chipman uses the aging of accounts receivable method and estimates that-$82 of its Accounts Receivable will be uncollectible. 3. Assume instead that Chipman uses the aging of accounts receivable method and estimates that $82 of its Accounts Receivable will be uncollectible. Prepare the year-end adjusting journal entry for recording Bad Debt Expense. Assume Chipman's year-end unadjusted balance in Allowance for Doubtful Accounts was a debit balance of $22. 4. If one of Chipman's main customers declared bankruptcy after year-end, what journal entry would be used to write off its $20 balance? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Prepare the adjusting journal entry required for the year. Assume instead that Chipman uses the aging of accounts receivable method and estimates that $82 of its Accounts Receivable will be uncollectible. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet < A Record the entry for bad debt expenses under the aging of accounts receivable method. Note: Enter debits before credits. Chipman Sofware recently reported the following amounts in its unadjusted trial balance at its year-end: Accounts Receivable Allowance for Doubtful Accounts Sales (assume all on credit) Debits $ 3,200 Credits $ 28 46,000 Required: 1. Prepare the adjusting journal entry required for the year. Assume Chipman uses 1/2 of 1 percent of sales to estimate its Bad Debt Expense for the year and no Bad Debt Expense has been recorded yet. 2. Prepare the adjusting journal entry required for the year. Assume instead that Chipman uses the aging of accounts receivable method and estimates that-$82 of its Accounts Receivable will be uncollectible. 3. Assume instead that Chipman uses the aging of accounts receivable method and estimates that $82 of its Accounts Receivable will be uncollectible. Prepare the year-end adjusting journal entry for recording Bad Debt Expense. Assume Chipman's year-end unadjusted balance in Allowance for Doubtful Accounts was a debit balance of $22. 4. If one of Chipman's main customers declared bankruptcy after year-end, what journal entry would be used to write off its $20 balance? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Prepare the adjusting journal entry required for the year. Assume instead that Chipman uses the aging of accounts receivable method and estimates that $82 of its Accounts Receivable will be uncollectible. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet < A Record the entry for bad debt expenses under the aging of accounts receivable method. Note: Enter debits before credits.
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Related Book For
Fundamentals of Financial Accounting
ISBN: 978-0078025914
5th edition
Authors: Fred Phillips, Robert Libby, Patricia Libby
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