Exercise 9-3

The ledger of Costello Company at the end of the current year shows Accounts Receivable $134,100, Sales Revenue $842,400, and Sales Returns and Allowances $29,900.

If Costello uses the direct write-off method to account for uncollectible accounts, journalize the adjusting entry at December 31, assuming Costello determines that L. Dole?s $1,700balance is uncollectible.Can you please fill in the blanks.

Account Titles and Explanation Debit Credit SHOW LIST OF ACCOUNTS LINK TO TEXT If Allowance for Doubtful Accounts has a credit balance of $2,800 in the trial balance, journalize the adjusting entry at December 31, assuming bad debts are expected to be (1) 2% of net sales, and (2) 11% of accounts receivable. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) No Account Titles and . Explanation (1) (2) Debit Credit SHOW LIST OF ACCOUNTS LINK TO TEXT If Allowance for Doubtful Accounts has a debit balance of $250 in the trial balance, journalize the adjusting entry at December 31, assuming bad debts are expected to be (1) 3% of net sales and (2) 7% of accounts receivable. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) No Account Titles and . Explanation (1) (2) SHOW LIST OF ACCOUNTS LINK TO TEXT Debit Credit By accessing this Question Assistance, you will learn while you earn points based on the Point Potential Policy set by your instructo