Homework: Problem 8-28A Score: 0 of 20 pts P8-28A (similar to) 1 of 1 (0 complete) HW Score: 0%, 0 of 20 pts Question Help On August 31,2018, Orchard Floral Supply had a $150,000 debit balance in Accounts Receivable and a $6,000 credit balance in Allowance for Bad Debts. During September, Orchard made: Sales on account, $520,000. Ignore Cost of Goods Sold . Collections on account, $582,000 Write-offs of uncollectible receivables, $2,000 Read the requirements Requirement 1 Journalize all September entries using the a owance method Bad Debts Expense was estimated at 4% of redit sales. Show all September activity in Accounts Receivable, Allowance for Bad Debts, and Bad Debts Expense (post to these T-accounts). Begin by journalizing all September entries using the allowance method. (Record debits first, then credits. Select the explanation on the last line of the joumal entry table.) Sales on account, $520,000. Ignore Cost of Goods Sold Date Accounts and Explanation Debit Credit Sep. 30 Choose from any list or enter any number in the input flelds and then click Check Answer 12 pemaining Clear All Check Answer 1 Requirements 1. Journalize all September entries using the allowance method. Bad debts expense was estimated at 4% of credit sales. Show all September activity in Accounts Receivable, Allowance for Bad Debts, and Bad Debts Expense (post to these T-accounts). 2. Using the same facts, assume that Orchard used the direct write off method to account for uncollectible receivables. Journalize all September entries using the direct write-off method Post to Accounts Receivable and Bad Debts Expense, and show their balances at September 30, 2018 3. What amount of Bad Debts Expense would Orchard report on its September income statement under each of the two methods? Which amount better matches expense with revenue? Give your reason 4. What amount of net accounts receivable would Orchard report on its September 30, 2018, balance sheet under each of the two methods? Which amount is more realistic? Give your reason. Print Done