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Johnson Company calculates its allowance for uncollectible accounts as 10% of its ending balance in gross accounts receivable. The allowance for uncollectible accounts had
Johnson Company calculates its allowance for uncollectible accounts as 10% of its ending balance in gross accounts receivable. The allowance for uncollectible accounts had a credit balance of $20,000 at the beginning of 2024. No previously written-off accounts receivable were reinstated during 2024. At 12/31/2024, gross accounts receivable totaled $333,400, and prior to recording the adjusting entry to recognize bad debts expense for 2024, the allowance for uncollectible accounts had a debit balance of 36,600. Required: 1. What was the balance in gross accounts receivable as of 12/31/2023? 2. What journal entry should Johnson record to recognize bad debt expense for 2024? 3. Assume Johnson made no other adjustment of the allowance for uncollectible accounts during 2024. Determine the amount of accounts receivable written off during 2024. 4. If Johnson instead used the direct write-off method, what would bad debt expense be for 2024? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 What was the balance in gross accounts receivable as of 12/31/2023? Balance in gross accounts receivable Required 1 Required 2 Required 3 Required 4 What journal entry should Johnson record to recognize bad debt expense for 2024? Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. View transaction list Journal entry worksheet 1 Record the entry to recognize bad debt expense for 2024. Note: Enter debits before credits. Year 2024 General Journal Debit Credit View general journal Record entry Clear entry > Required 1 Required 2 Required 3 Required 4 Assume Johnson made no other adjustment of the allowance for uncollectible accounts during 2024. Determine the amount of accounts receivable written off during 2024. Amount of accounts receivable written off < Required 2 Required 4 > Required 1 Required 2 Required 3 Required 4 If Johnson instead used the direct write-off method, what would bad debt expense be for 2024? Bad debt expense for 2024 < Required 3 Required 4 >
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