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Information related to Mingenback Company for 2015 is summarized below. Total credit sales $2,514,000 Accounts receivable at December 31 844,000 Bad debts written off 32,400
Information related to Mingenback Company for 2015 is summarized below. Total credit sales $2,514,000 Accounts receivable at December 31 844,000 Bad debts written off 32,400 (a) What amount of bad debt expense will Mingenback Company report if it uses the direct write-off method of accounting for bad debts? (b) Assume that Mingenback Company estimates its bad debt expense to be 2% of credit sales. What amount of bad debt expense will Mingenback record if it has an Allowance for Doubtful Accounts credit balance of $4,400? $ (0) Assume that Mingenback Company estimates its bad debt expense based on 6% of accounts receivable. What amount of bad debt expense will Mingenback record if it has an Allowance for Doubtful Accounts credit balance of $3,300? $ (d) Assume that Mingenback Company estimates its bad debt expense based on 6% of accounts receivable. What amount of bad debt expense will Mingenback record if it has an Allowance for Doubtful Accounts debit balance of $3,300? $
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