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Excel Inc. has provided the following information relating to its sales for the past year, which ended December 31, 20x1. Estimated % of accounts
Excel Inc. has provided the following information relating to its sales for the past year, which ended December 31, 20x1. Estimated % of accounts receivable that will be uncollectable 4% Opening Balances: Jan. 1, 20x1 balance in the allowance for doubtful account (this is before any adjusting entries) $2,000 cr Jan. 1, 20x1 balance in the accounts receivable account $37,000 dr During 20x1: Credit sales (20x1) Write offs of uncollectible accounts receivable (20x1) Collections of previously written off amounts (20x1) Cash received in payment of accounts receivable (20x1) Required- , $450,000 $6,200 $900 $426,000 31) Calculate the balance in the Accounts Receivable account at December 31, 20x1. (1 mark) 1 52) Calculate the balance in the Allowance for Doubtful Accounts at December 31, 20x1. (2 marks) 5 73) Prepare any journal entries required at December 31, 20x1 to record bad debt expense for the year. (3 marks)
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