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Fortner Corporation provided for uncollectible accounts receivable under the allowance method. At January 1, 2020, the balance in Allowance for Doubtful Accounts was $130,000 credit.
Fortner Corporation provided for uncollectible accounts receivable under the allowance method. At January 1, 2020, the balance in Allowance for Doubtful Accounts was $130,000 credit. During 2020, credit sales totaled $9,000,000, $90,000 of bad debts were written off, recoveries of accounts previously written off amounted to $15,000, and the provision for doubtful accounts was determined to be $180,000 based on a percentage of receivables approach. Instructions: Post the 2020 journal entries to the allowance account. Allowance For Doubtful Accounts Debit Credit 01/01/2020 balance 12/31/2020 balance before BDE 7 of 10 Chapter 07 Homework Accounts Receivable 12/31/2020 balance after BDE
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