Entries for Uncollectible Receivables, using Allowance Method ournalize the following transactions in the accounts of Zippy Interiors Company, a restaurant supply company that uses the allowance method of accounting for uncollectble recev 24 Sold merchandise on account to Old Town Cafe $18,450. The cost of goods soid was $11,000. Sept. 30 Received $6,000 from Oid Town Caf e and wrote off the remainder owed on the sale of May 24 as uncollectible. Dec. 7 Reinstated the account of oid Town Cafe that had been For a compound transaction, if an amount box does not require an entry, leave t blanik. wirtten off on September 30 and received $12,450 cash in full payment. May 24-sale May 24 cost Sept. 30 Dec7-reinstte Dec. 7-collection