Hampton Auto Parts, Inc., completed the following selected transactions during 2018: (Click the icon to view the transactions.) Read the requirements. Requirement 1. Record the transactions in the journal and post to the Allowance for uncollectible accounts and Bad debt expense ledger accounts that have been opened for you. These accounts have beginning balances of $3,600 (cr.) and $0, respectively. Remember to update account balances but ignore posting references. Begin by recording the transactions in the journal. (Record debits first, then credits. Exclude explanations from any journal entries.) Jan 17: Sold inventory to Oscar Vasque, $1,300 on account. Ignore cost of goods sold. Journal Entry Date Accounts Debit Credit Jan 17 Jun 29: Wrote off the Oscar Vasque account as uncollectible after repeated efforts to collect from him. Journal Entry Date Accounts Debit Credit Jun 29 Aug 6: Received $175 from Oscar Vasque, along with a letter stating his intention to pay within 30 days. Reinstated his account in full. Begin by preparing the entry to reinstate the account. (Do not record the receipt of cash, this will be recorded in the next entry.) Journal Entry Date Accounts Debit Credit Aug 6 Now prepare the entry for the receipt of $175 from Oscar Vasque. Journal Entry Date Accounts Debit Credit Aug 6 Sep 4: Received the balance due from Oscar Vasque. Journal Entry Date Accounts Debit Credit Sep 4 Oct 31: Made a compound entry to write off the following accounts as uncollectible: Bob Keffer, $600; Tristan Montrose, $800; and Susan Smith, $300. Journal Entry Date Accounts Debit Credit Oct 31 Dec 31: Based on the aging of accounts receivable, estimated uncollectible accounts as $3,300. Journal Entry Date Accounts Debit Credit Dec 31 Now post to the Allowance for uncollectible accounts and Bad debt expense ledger accounts that have been opened for you. These accounts have beginning balances of $3,600 (cr.) and $0 respectively. Remember to update account balances but ignore posting references. (Post to the accounts in the same order as the journal entries prepared above, using the first available line on the debit or credit side of each T-account.) Allowance for uncollectible accounts Bad debt expense Beg Bal 3,600 Beg Bal 0 Requirement 2. The December 31 balance of Accounts receivable is $158,000. Show how Accounts receivable would be reported on the balance sheet at that date. (Complete all answer boxes.) Hampton Auto Parts, Inc. Balance Sheet (partial) December 31 Less: Jan 17 Jun 29 Aug 6 Sold inventory to Oscar Vasque, $1,300, on account. Ignore cost of goods sold. Wrote off the Oscar Vasque account as uncollectible after repeated efforts to collect from him. Received $175 from Oscar Vasque, along with a letter stating his intention to pay within 30 days. Reinstated his account in full. Received the balance due from Oscar Vasque. Made a compound entry to write off the following accounts as uncollectible: Bob Keffer, $600; Tristan Montrose, $800; and Susan Smith, $300. Based on an aging of accounts receivable, estimated uncollectible accounts as $3,300. Sep 4 Oct 31 Dec 31 1. Record the transactions in the journal and post to the Allowance for uncollectible accounts and Bad debt expense ledger accounts that have been opened for you. These accounts have beginning balances of $3,600 (cr.) and $0, respectively. Remember to update account balances but ignore posting references. 2. The December 31 balance of Accounts receivable is $158,000. Show how Accounts receivable would be reported on the balance sheet at that date
