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Indiana Jones Adventure Tours has the following year-end data; $775,000 in credit sales, $250,000 in accounts receivable, and a $10,000 debit balance in its allowance
Indiana Jones Adventure Tours has the following year-end data; $775,000 in credit sales, $250,000 in accounts receivable, and a $10,000 debit balance in its allowance for doubtful accounts account. It estimates 6% of its accounts receivable will be uncollectible. During the year, the company writes off a $3,000 uncollectible account. What is the company's bad debt expense for the year? $25,000 $15,000 $18,000 $28,000 In 2019, Regal Company had net credit sales of $1,150,000. On January 1, 2019, the Allowance for Doubtful Accounts account had a credit balance of $8,000. During 2019, $28,000 of uncollectible accounts were written off. Past experience indicates that 3% of net credit sales become uncollectible. What should be the final balance in the Allowance for Doubtful Accounts account at December 31, 2019? $14,500 $26,500 $34,500 $42,500
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