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help please Freighton Corporation operates in an industry that has a high rate of bad debts. On 12/31/23 before any year-end adjustments, the balance in
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Freighton Corporation operates in an industry that has a high rate of bad debts. On 12/31/23 before any year-end adjustments, the balance in Creighton's Accounts Receivable account was $825,000 and the Allowance for Doubtful Accounts had a debit balance of $3,000. Creighton aged its receivables as follows. Required: a. Before making its year end adjustment, Creighton determines that an account of $5,000 in the >90 days category is uncollectible and decides to write off the account. What entry will Creighton make to write it off? b. Assuming that Creighton then uses the percentage of aged receivables to apply the allowance method, what is the appropriate ending balance for the Allowance for Doubtful Accounts on 12/31/23 ? c. What adjusting entry will Creighton make at 12/31/23 for the Allowance for Doubtful Accounts? d. Show how accounts fecelvable would be presented on the 12/31/23 balance sheet Step by Step Solution
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