Homework: Chapter 8, Part 1 Score: 0 of 2 pts HW Score: E8-19 (open response) At January 1, 2018. Purple Mountain Flagpoles had Accounts Receivable of $28.000 and Allowance for Bad Debts had a credit balance of $4.000. During the year, Purple Mountain Flagpoles recorded the following Click the icon to view the transactions) Read the requirements Requirement 1. Journalize Purple's transactions that occurred during 2018. The company uses the allowance method. Record debitis first then credits Select the explanation on the last line of the journal entry table spelling carefully and do not abbreviate) (2) Sales of $180,000 ($158,000 on account: $22,000 for cash) Ignore Cost of Goods Sold. (Prepare a single compound journal entry) Date Accounts and Explanation Debat Credit 3 of 6 (0 complete) HW Score: 0%, 0 of 1 Question Help ind Allowance for Bad Debts had a credit balance of $4,000. During the year, Purple Mountain Flagpoles recorded the following: pany uses the allowance method * More Info hal entry table. Check your Is Sold. (Prepare a single compoun Credit a. Sales of $180,000 ($158,000 on account: $22.000 for cash). Ignore Cost of Goods Sold. b. Collections on account, $138,000. C. Write-offs of uncollectible receivables, $2,500. i Requirements 1. Journalize Purple's transactions that occurred during 2018. The company uses the allowance method 2. Post Purple's transactions to the Accounts Receivable and Allowance for Bad Debts T-accounts 3. Journalize Purple's adjustment to record bad debts expense assuming Purple estimates bad debts as 11% of accounts receivable. Post the adjustment to the appropriate T-accounts. 4. Show how Purple Mountain Flagpoles will report net accounts receivable on its December 31, 2018, balance sheet. Print Done ack