E5-6

E5-6 On April 25, Foreman Electric installs wiring in a new home for $3,500 on account. However, on April 27, Foreman's electrical work does not pass inspection, and Foreman grants the customer an allowance of $600 because of the problem. On April 30. the customer makes full payment of the balance owed. Required: 1. Record the credit sale on April 25. 2. Record the sales allowance on April 27. 3. Record the cash collection on April 30. 4. Calculate net sales reported in the income statement Establish an allowance for uncollectible accounts and write off accounts receivable L05-3,5-4)