Question
eBook Show Me How Question Content Area Providing for doubtful accounts At the end of the current year, the accounts receivable account has a debit
eBook Show Me How Question Content Area Providing for doubtful accounts At the end of the current year, the accounts receivable account has a debit balance of $932,000 and sales for the year total $10,570,000. The allowance account before adjustment has a debit balance of $12,600. Bad debt expense is estimated at 1/2 of 1% of sales. The allowance account before adjustment has a debit balance of $12,600. An aging of the accounts in the customer ledger indicates estimated doubtful accounts of $40,300. The allowance account before adjustment has a credit balance of $6,300. Bad debt expense is estimated at 3/4 of 1% of sales. The allowance account before adjustment has a credit balance of $6,300. An aging of the accounts in the customer ledger indicates estimated doubtful accounts of $52,300. Determine the amount of the adjusting entry to provide for doubtful accounts under each of the assumptions (a through d) listed above. Assumption Amount a. $fill in the blank 1 b. $fill in the blank 2 c. $fill in the blank 3 d. $fill in the blank 4
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