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During its first year of operations, Blossom Company had credit sales of $3,000,000, of which $410,000 remained uncollected at year- end. The credit manager

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During its first year of operations, Blossom Company had credit sales of $3,000,000, of which $410,000 remained uncollected at year- end. The credit manager estimates that $18,000 of these receivables will become uncollectible. (a) Your answer is correct. Prepare the journal entry to record the estimated uncollectibles. (Assume an unadjusted balance of zero in Allowance for Doubtful Accounts.) (Credit account titles are automatically indented when amount is entered. Do not indent manually) Account Titles and Explanation Bad Debt Expense Allowance for Doubtful Accounts Debit 18000 Credit 18000

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