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Hunter, Inc., analyzed its accounts receivable balances at December 31, and arrived at the aged balances listed below, along with the percentage that is estimated
Hunter, Inc., analyzed its accounts receivable balances at December 31, and arrived at the aged balances listed below, along with the percentage that is estimated to be uncollectible Probability of Balance Noncollection $93,000 23,000 14,000 9,000 7,000 $146,000 Age Group 0-30 days past due 31-60 days past due 61-120 days past due 121-180 days past due Over 180 days past due The company handles credit losses using the allowance method. The credit balance of the Allowance for Doubtful Accounts is $820 on December 31, before any adjustments. a. Prepare the adjusting entry for estimated credit losses on December 31. b. Prepare the journal entry to write off the Rose Company's account on April 10 of the following year in the amount of $725 a. Date Dec 31 b. Date April 10 General Journal Description To record allowance for credit losses. 1% 2% 5% 10% 25% General Journal Description To write off Rose Company's account. Please answer all parts of the question. = $ + $ Debit Debit 0$ 0 0 $ 0 Credit Credit 0 0 0 0
The company handles credit lossei using the allowance method, The credit bulance of the Alowance for Doverfut Accounts is 5820 on December 31 , before any adjutiments: b. Prepare the journil entry to write off the Rose Companys account on Aperil to of the following year in the amount of 3725
Hunter, Inc., analyzed its accounts receivable balances at December 31, and arrived at the aged balances listed below, along with the percentage that is estimated to be uncollectible Probability of Balance Noncollection $93,000 23,000 14,000 9,000 7,000 $146,000 Age Group 0-30 days past due 31-60 days past due 61-120 days past due 121-180 days past due Over 180 days past due The company handles credit losses using the allowance method. The credit balance of the Allowance for Doubtful Accounts is $820 on December 31, before any adjustments. a. Prepare the adjusting entry for estimated credit losses on December 31. b. Prepare the journal entry to write off the Rose Company's account on April 10 of the following year in the amount of $725 a. Date Dec 31 b. Date April 10 General Journal Description To record allowance for credit losses. 1% 2% 5% 10% 25% General Journal Description To write off Rose Company's account. Please answer all parts of the question. = $ + $ Debit Debit 0$ 0 0 $ 0 Credit Credit 0 0 0 0
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