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Exercise 7-2A Accounting for uncollectible accounts: allowance method LO 7-1 [The following Information applies to the questions displayed below.] Holmes Cleaning Service began operation on

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Exercise 7-2A Accounting for uncollectible accounts: allowance method LO 7-1 [The following Information applies to the questions displayed below.] Holmes Cleaning Service began operation on January 1, Year 1. The company experienced the following events for its fi year of operations: Events Affecting Yeart 1. Provided $130,000 of cleaning services on account 2. Collected $97,500 cash from accounts receivable. 3. Pald salaries of $38,000 for the year. 4. Adjusted the accounts to reflect management's expectations that uncollectible accounts expense would be $1,800. The expense was determined using the percent of revenue method. Exercise 7-2A Part b b. Post the general Journal entries to T-accounts. Service Revenue Beg Bal Beg Bal. End. Bal. Accounts Receivable. Salaries Expense Beg Bal. End. Bal 0 Uncollectible Accounts Expense

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